Crypto-currencies took a defensive position this morning: almost all the major digital assets are falling again after a short consolidation period at the weekend.
It is likely that many traders are less willing to enter the market after recent price jumps or believe that the time has not yet come.
Over the past 24 hours, the total capitalization of the segment has fallen by approximately $ 65 billion: from $ 447 billion to $ 382 billion, in the process of sinking to $ 381 billion.
It is noteworthy that at the same time the bitcoin dominance index is growing, which at the time of publication is 35.3%, which is 2.1% higher than on February 1.
The current movement, among others, is led by Ethereum, which appears to be in earlier stages of correction than most other crypto-currencies. The Ethereum rate dropped to $ 781, thus falling below the mid-January low, after which it returned to $ 820.
Bitcoin, Ripple, Bitcoin Cash and Cardano lost more than 10% each 24 hours.
The market of crypto-currencies is characterized by increased volatility for the third month in a row, and the last 3 weeks mark a continuing decline from the $ 830 billion mark. Until recently, speculators almost literally bought back the crypto currency in any short-term drop. Even the September collapse, which occurred against the backdrop of negative news from China, was smoothened by investors who were expecting an early recovery of the crypto currency. However, in recent weeks this has not happened, with the exception of a few short-term rises, which were immediately interrupted.
Of course, for long-term holders of crypto currency, the picture looks different. Despite the horrendous dynamics of recent days, many investors continue to believe that the market will return to the growth that we saw last year.
Last week, the head of GVA Research LLC in a conversation with the Daily Express said that bitcoin could return to around $ 20,000 by the end of this year. In January, Vice-President Saxo Bank suggested that during this time the Crypto currency will have time to rise to $ 100,000.
As for the lows, Nick Colas of DataTrek said back in December that bitcoin could drop to $ 6,500 this year. He also did not rule out the possibility of raising up to $ 22,000. Among others, Kolas forecast was presented to his readers by Bloomberg, Barron’s, The Wall Street Journal and Market Watch. Forbes columnist Peter Chir believes that from bitcoin it’s worth to expect a fall to $ 5,000, as well as that the flagship will be attracted by altcoins.