Crypto Market Clings To Straw

Crypto Market Clings To Straw

At the moment ETH is trading above $182, partially recovering after declining from $220 to $150 last week. Maintaining the positive dynamics significantly strengthens the chances for Ethereum (ETH) to return the recent highs of $230 in the coming days in case of further growth. Thus, the recent correction looks rather fleeting, and speculative demand in the market is still high.

The greed and fear index of BTC is now at the level of 38, which indicates the approaching exhaustion of the demand impulse, showing a rather sharp recovery from the levels of “extreme fear” when the index fell to 12 at the end of last week.

The flow of news about crypto trading volume falsification by exchanges does not run out. This uncomfortable truth has been revealed a long time ago but market participants still prefer not to “think seriously” about these facts. According to the Blockchain Transparency Institute, about 90% of the volume is fake, while the most honest crypto exchanges are Coinbase, Poloniex, and Kraken. If the daily volume of trading is not $61 billion, but $6 billion, then it becomes clear how vulnerable digital currencies are to manipulation.

The price of ZCash (ZEC) is even lower now than it was during the crypto winter. The coin is traded around $39 and is now considered one of the most undervalued on the market. The new data showed that the cryptocurrency has problems with anonymity: it is possible to determine the IP-address of the full node in transactions, which raises fundamental questions to the project. Probably, for these reasons, the cryptocurrency is not redeemed at current lows.

Once a revolutionary XRP project is also going through some bad times, as it turned out that the XRP token itself is not used for international transactions. The price of the coin can not detach itself from 25 cents, so the company’s management is trying to breathe life into the project through grants and investment. Thus, it became known that Ripple bought the Icelandic cryptographic firm Algrim to provide a liquidity XRP channel in the EU. The problem is that the longer the crypto projects try to find their way into the traditional market, the more likely it is that the traditional market will update its own technologies.

Ultimately, the crypto market now acts as a global casino, with very few projects will succeed, while the rest will have to disappear in history.

Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.