WMA: Bitcoin Soars to $16K While Alts Traded in the Green for Most of the Week
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 $439 billion.
- Bitcoin rises as high as $16,000 before settling around $15k on the weekend.
- Ethereum increased by 15% throughout the week before losing points on the weekend.
- XRP increased by nearly 6% to break beyond the $0.25 level
- Joe Biden is virtually the new President of the U.S. as other crypto-friendly politicians gain crucial senate positions.
Crypto Trends 02nd – 08th of November 2020: PERFORMANCE & ANALYSIS
A wild week for the cryptocurrency market is coming to its end. High volatility driven mostly by the U.S. presidential elections saw Bitcoin reach $16,000, and other altcoins trading in the green for most of the week.
Surprisingly, once Joe Biden was confirmed as the virtual 46th President of the United States on Saturday, most cryptocurrencies plummeted. The crypto market lost as much as $30 billion in one day. Even Bitcoin took a blow in the bid to reach an all-time high (ATH) as it lost more than $1,000 in value and dropped below $15,000.
Towards the end of the weekend, the crypto market is recovering and reports a market capitalization of nearly $440 billion. Most of the top-20 cryptocurrencies are getting back their gains and looking forward to another boost in value next week.
Bitcoin started the week trading promisingly at $13,500. It continued to increase in value with every passing day, and while it lost precious points on Friday, nothing seems to stay in its way of reaching $20,000 by the end of the year.
At the moment, Bitcoin is trading around $15,215 and looking to overcome the nearest resistance level at $16,000. The closest support level lies at $15,000.
Ethereum also had a productive week on the back of the news that Ethereum 2.0 may finally see the light of day by December 1st. The second crypto in command gained more than 15% in its value. It also lost a few precious points on Friday but immediately got back on track. After climbing as high as $470 during the week, Ethereum is now trading at $445, and it is looking to break the next resistance level at $462. The nearest support level lies at $420.
Ripple’s XRP finally made it above the $0.25 psychological level as it added more than 6% to its value throughout the week. Right now, the investors are hoping that a new bullish push will get XRP past the next resistance level at $0.261 and not fall through the closest support at $0.245. At the moment, XRP is trading at $0.253.
Elsewhere, Chainlink managed to increase by nearly 12% throughout the week, and LINK is now trading at $12,46. The DeFi market also had a good week as it added more than $1 billion to its locked value protocols, which now have reached $12.18 billion.
It is still unclear why Joe Biden winning the Presidential elections ahead of the incumbent Donald Trump delivered such a powerful blow to the cryptocurrency market. However, these elections brought good news for crypto supporters as several crypto-friendly politicians have been elected in the U.S. Senate, including long-term BTC owners, such as Cynthia Lummis.
What’s in the News?
- Vitalik Buterin transferred 3,200 Ether to ETH 2.0 deposit contract ahead of mainnet launch.
- The U.S. Department of Justice seized $1 billion worth of BTC allegedly belonging to the Silk Road.
Next Week’s Market Forecast
The cryptocurrency market should remain bullish next week. Investors are looking optimistically at Bitcoin’s rise and expecting that Ethereum will follow in its shoes once the Ethereum 2.0 mainnet starts functioning in December.
The U.S. Presidential Elections may still impact the crypto market as the sitting President Donald Trump has vowed to forge on with a court battle to overturn the results, which he considers to be fraudulent. A court battle between the two main political parties in the United States could fuel the volatility in the cryptocurrency market even further.