Quick Glance At The Price of Cryptocurrencies In The Last Week
We analyse the price of the cryptocurrencies we host and their current position.
August 29, 2020
At Netcoins, we help Canadians buy and sell seven key cryptocurrencies: Bitcoin, Ethereum, Bitcoin Coin, XRP, Litecoin, Tether, QCAD. As such, we monitor the news, updates and price trends affecting these cryptocurrencies.
We also like to share this information with our customers so here’s a breakdown of what we’ve recently observed in the crypto space.
BTC spiked to $11,600 USD on Aug. 27 when the Fed announced their intention to maintain an average inflation rate of 2%. Since the writing of this post, the price has dipped to around $11,200 (down 2.46% in the last 24 hours). While this is a significant drop after all signs pointed to a new bull run, enthusiastic investors are doubling down and buying the dip.
Ethereum reached $370.00 on Tuesday and managed to recover to $377 at the time of publication (although it’s down 2.63% in the last 24 hours). This is a significant downturn after hitting a yearly high of $447.5 on August 17. However, a new accumulation pattern suggests Ethereum will return to the old resistance levels before a new uptrend begins.
Tether (USDT) has overtaken Bitcoin and Paypal in transactions over the past week. The value of USDT transactions has been $3.55 billion while the value of Bitcoin trades was $2.94 billion, according to data compiled by Coin Metrics. This suggests massive trading volume across the market, as Tether is primarily used to avoid constant fees from cashing in and out of crypto trading.
While the XRP price has rallied over the past three months, it is now in a steady decline with a bearish trend line forming. The price has dipped a further 5.19% in the past 24 hours at the time of publication. At $0.2640, XRP is edging closer and closer to its $0.2620 support level.
Litecoin is also showing a strong bearish trend, dropping 6.5% over the last 24 hours and dropping below its $60 resistance barrier to $54.49 at press time. The price needs to clear the $60.00 resistance zone to start a decent increase in the near term.
The 24-hour price for Bitcoin Cash (BCH) highlighted the bearishness in the market. BCH hasn’t regained its pre-March value and has been stuck under $330. The coin is trading at $261.66 at press time (down 5.5% in the last day). With the signal line aligned above the price bars, indications point to the price moving lower, at least in the short-term.
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While these bearish trends might make some investors worried, this is only a single piece of a larger puzzle. Yes, cryptocurrencies are volatile in their value, but trends observed in a macro sense show the long-term benefit of crypto over fiat. When you zoom out, you notice the value of cryptocurrencies increases year over year.
With announcements of ongoing and increasing inflation (just in the last week alone), many people are seeking alternative ways to protect their wealth in the long term. This slight downturn in the market is an opportunity to buy the dip while it lasts and reap the benefits once prices correct and continue their uptrend.
Written by: Adam Farrell
Writer. Content marketing. A cloud-in-his head kind of guy. He loves to create and invent stuff. Good with words.