Bitcoin drops on Sunday
Bitcoin has been in an upward trend for weeks, starting at a price of 6400 USD. After a successful week, the “digital gold” failed once again on Sunday at the stubborn 9000 USD border. In addition, the Chinese New Year could provide for a downward trend. We take a look at the current events on the crypto market.
Bitcoin exchange rate in detail
At the time of writing, Bitcoin is quoted at USD 8665 and has a market cap of approximately USD 157,4 billion. Yesterday, the No.1 crypto currency briefly climbed above the 9000 USD mark and reached a daily high of 9194 USD. This daily high also represents the highest price since November 2019, a thoroughly positive development. The resistance line at USD 9000 would have to be crossed permanently in the coming week in order to form a strong support line before the magic USD 10000 mark.
Bitcoin Dominance Index rises
The week was dominated by the Altcoins. Bitcoin SV exploded, the Bitcoin Forks followed and the word “Altcoin Season” made the rounds in the crypto media. Volatile share prices and brilliant pumps lured countless investors to the crypto stock markets in 2017. As a result, many coins reached their all-time high and a hype made it into the general public. Three years later, investors’ focus is primarily on Bitcoin. This is illustrated by a look at the Bitcoin Dominance Index of 66.5%. The Altcoins are keeping a low profile in terms of overall market capitalization. Whether this situation will change before the Bitcoin Halving Event in May remains questionable.
Chinese New Year could drop Bitcoin
The Chinese New Year is considered the most important Chinese holiday. January 25th marks the start of the Year of the Metal Rat and this Chinese economy is taking a break. In recent years, Bitcoin has fallen enormously during this holiday, in 2019, 2018 and 2017 even in the triple digits. This effect could also affect the Bitcoin price in the coming week. The “Land of the Rising Sun” is the market leader in mining and has a great influence on the crypto market. As a result of the crypto-affine statements of President Xi, the Bitcoin share price recorded a daily increase of over 40% last year.
Altcoins on Sunday
After the pump, many things currently look like a consolidation phase. On Sunday, the Altcoins are taking a breather, while the total market capitalization is falling by nearly 5 billion USD. Bitcoin SV is able to defend its 5th place in the cryptocharts for the time being, and Bitcoin Cash is back in 4th place. An interim doubling of the BSV share price was fueled by the coverage in connection with Craig Wright. The focus is on the self-proclaimed Satoshi Nakamoto, a court case and the question of ownership claims for billion-dollar crypto funds. The topic suddenly electrified the crypto market at the beginning of the week and the Bitcoin SV share price climbed to a new all-time high of 441 USD. More Bitcoin forks followed promptly and a new “Altcoin Season” was conjured up. This, however, turns out to be a snapshot for now.