Bitcoin will likely heave a sigh of relief at the current state of the market. In the last 24 hours, BTC has surged back above $6,500 as the total market capitalization has risen to more than $212 billion.
Bitcoin Back Above $6,500
At press time, BTC was looking set to break the $6,600-mark, trading at $6,581. The top-ranked cryptocurrency seemed doomed to fall below $5,000 after a miserable run since the start of August. Bitcoin has gained more than eight percent in the last 24 hours.
According to eToro senior analyst, Mati Greenspan, the risen for today’s rally can be attributed to a fresh wave of buy-ins. Greenspan opined that once the BTC price fell below $6,000 and seemed destined to test $5,000, more people were incentivized to buy the crypto.
The eToro senior analyst also allayed fears of a crisis saying price fluctuations were a given between $5,000 and $8,000. According to Greenspan:
The range we’ve been watching on bitcoin has been holding rather well. Since the beginning of the year, we’ve seen buyers stepping in about halfway through the $5K handle, which is approximately what analysts estimate is the cost to mine bitcoin.
Ethereum and Other Altcoins Post Massive Price Gains
At the time of writing this article, no coin in the top 100 ranking has a negative 24-hour price change on Coinmarketcap. Ethereum, the second-ranked cryptocurrency is marginally back above the $300 price mark. The price of ETH had briefly slipped below $300 for the first time since November 2017.
ETH leads the way in the top ten coins, increasing by 16 percent as at press time. Other significant gains include XRP – 15 percent, Litecoin – 14 percent, and EOS – 12 percent. Nano, the 43rd-ranked cryptocurrency is the top gainer in the top 100 coins, increasing by 47 percent.
The situation observed today is a pointer to the fact that the market is still closely correlated. Investors going long on Bitcoin sparked a revival in not only the price of BTC but in the market as well. Bitcoin still maintains an over 50 percent dominance of the market which means that it is still the preferred choice of cryptocurrency investors.
Do you think the current cash injection will drive the price of Bitcoin above the $7,000 mark? Keep the conversation going in the comment section below.
Image courtesy of Coinmarketcap.