Cryptocurrency Market Update: Sunday range is a precursor for another big move
- Negative rates policy is beneficial for cryptocurrencies.
- Bitcoin and major altcoins are locked in tight ranges.
The cryptocurrency market is a mixed picture on Sunday. Bitcoin and all major altcoins are staying in the ranges amid low trading activity. The total capitalization of all digital assets in circulation settled at $219 billion, unchanged from this time on Saturday, April 25, while an average daily trading volume reached $166 billion.
From the fundamental point of view, massive monetary injections and negative rates policies adopted by major central banks solidify Bitcoin's bull case. According to Narayana Kocherlakota, a professor of economics at the University of Rochester and a former president of the Federal Reserve Bank of Minneapolis, Fed's rates may go negative next week. Several European central banks, as well as the Bank of Japan, have already taken such steps.
If the FED joins the game, Bitcoin and other cryptocurrencies may get a boost as banks will seek ways to protect their wealth without paying a penalty for keeping their funds on the central bank's accounts. Bitcoin offers no interest, just like paper cash, but it is much more convenient in terms of storage and deflationary characteristics.
Top-3 coins overview
BTC/USD has been sitting in a tight range marginally above $7,500 since Friday, April 24. The price of the first digital coin has stayed unchanged both on a day-to-day basis and since the beginning of Sunday. As the upside momentum has faded away, BTC/USD is moving within a short-term bearish trend amid low volatility; bulls need to take out $7,600 to get the recovery back on track.
ETH/USD has settled above $195.00 during Sunday trading . The second-largest coin has stayed unchanged both on a day-to-day basis and since the beginning of the day amid short-term bearish sentiments and decreasing volatility. The next critical resistance is created by psychological $200.00.
XRP/USD settled in the middle of the range $0.1900-$0.2000 by the time of writing. The coin is moving within the short-term bearish trend in sync with the market. The volatility is low.
Author
Tanya Abrosimova
Independent Analyst
