Weekly Crypto Market Analysis: Bitcoin gets bullish support, India lifts ban on cryptocurrency and Covid-19 continues to poison financial markets
Get the weekly summary of cryptocurrency market trends, news, and forecasts!
This Week’s Summary
- The Crypto Market ends the week at a total market capitalization of $251 billion
- Bitcoin gets bullish support to move above $9,000 before dropping just below the mark
- Ethereum value consolidates around the $230 with its sight set on the $250 target
- XRP ends below the resistance level of $0.235 after an impetuous rise of up to $0.245
- India finally lifts an RBI ban on cryptocurrency usage in the country that started in 2018
- Covid-19 continues to spread through Europe and North America undermining financial growth
Crypto Trends 02nd – 08th March 2020: PERFORMANCE & ANALYSIS
The last week has seen the cryptocurrency market defy the alarming news regarding the Covid-19 spread throughout the world. Bitcoin and most of the altcoins remained resilient to the epidemic’s looming danger for financial markets, as they experienced remarkable ascents up until the end of the week.
As the coronavirus conquers new territories in Europe and North America the global equity market suffers one blow after another. Still, the crypto market only experiences mild volatility. The current trend suggests a newfound interest of investors in digital assets as China declares physical money to be partly responsible for the quick spread of the latest epidemic.
Bitcoin benefitted from bullish support up until the end of the week as a 5% saw it rise above the $9,000 barrier. However, Sunday saw it slide on a downtrend again, and it is now trading at 8,752. The most popular crypto in the world saw a 0.6% dip in dominance over the rest of the altcoins from last week.
The reason behind Bitcoin’s drop in value has almost nothing to do with the ongoing spread of the coronavirus. It was another transfer of BTC through PlusToken that devalued Bitcoin once again. The biggest Ponzi plan in Chinese history now saw the depositing of 13,000 tokens from PlusToken wallets to transaction mixing services. The total value of the scam is around $120 million.
Ethereum too had a good run until the weekend as it brought joy to investors with a 3% increase and moved closer to the $240 mark. Its value recently dropped to $230, but the market is optimistic and hopeful in a bullish return that should see it rise above $250 in the upcoming period.
Most of the other altcoins traded in the green for most of the past seven days. XRP increased by 2.3% on the brink of the weekend, but it soon followed the downtrending signal in the market and dropped to a current trading value of $0.232.
What’s in the News?
- India lifted the ban on cryptocurrency trading in the country for the first time since 2018
- The South Korean Parliament legalized Bitcoin trading
- Regulators force Facebook to change Libra plan if it aims for approval this year
- German Financial Regulator (BaFin) recognizes cryptocurrencies as financial instruments
- Italy quarantines the whole region of Lombardy in a bid to stop the Covid-19 spread
Next Week’s Market Forecast
In the upcoming week, cryptocurrency investors will stay with an eye on the rest of the financial markets. The equity market is expected to continue its downtrend on the back of more disturbing news surrounding the Covid-19 epidemic.
Bitcoin appears to be heading towards the $8,500 support level, but more optimistic traders hope that the digital asset will dissociate from the current financial downtrend and resume its bullish ascent. The next resistance level is at $9,400.
One crypto-related event happening next week is:
The Digital Asset Summit hosted by CryptoCompare in London (10th of March 2020)