The cryptocurrency market is showing a healthy movement today splashed with a green wave as Ethereum makes a major recovery to again become the second most-valued cryptocurrency after Bitcoin.
We are into the second day of 2019, and it looks like the crypto market has entered a consolidation phase. Over the last one week, crypto market valuation is flirting around $130 billion. And since the beginning of this week, Bitcoin is showing price movements around $3800. However, the world’s cryptocurrency is showing volatility in $200 range over and below the $3800 levels.
The most important thing is that Bitcoin still continues to maintain over 50% dominance in the overall cryptocurrency market. At the press time, Bitcoin (BTC) is trading at $3844 levels with a market cap of $67.1 billion. Apart from bitcoin, a majority of the top twenty altcoins appear to be in green. However, a look at the price table shows that Ethereum (ETH) outclasses all the cryptocurrencies in today’s gains.
Ethereum Grabs the Second Spot Again
Ethereum (ETH) emerges as the sole major performer in today’s market condition. It has again regained its second spot from XRP in terms of their market cap. At the press time, Ethereum is 9.6% up trading at $149 with a market cap of $15.5 billion. Over the last one week, the cryptocurrency has gained over 15% to yet again enjoy this crown.
Over the last one month, Ethereum has gained 80% of its price after hitting a bottom of $83 to now trading at $150 levels. Needless to say that Ethereum was certainly trading in the oversold regions after the November 2018’s market crash. This helped Ethereum to make a quick recovery.
The other important reason is Ethereum’s Constantinople hardfork is scheduled this month in January 2019. Finally, after a lot of waiting, the Ethereum network will see important upgrades in terms of its scalability and performance.
In November 2018 itself, Ethereum plunged from $220 levels to less than $85, and the latest recovery is a relief for its investors.
On the other hand, XRP has gained 3.25% at the press time and trading at $0.36. The XRP market cap stands at $14.9 billion. This shows that Ethereum is leading XRP by a considerable margin of more than $600 million in market cap.
Crypto Market Preparing for Massive Institutional Inflow
On Monday, December 31, 2018, Sarson Funds published a report stating that the cryptocurrency market is preparing for massive institutional inflow. In fact, the Sarson Funds report shows that the institutional inflow will happen from today itself i.e. January 2, 2019. The report notes:
“On January 2nd, banks will re-open and hedge funds holding on to new deposits will be clear to wire deposits to cryptocurrency exchanges. We expect this influx of orders to be more than enough buying power to cause a massive surge in price – one that we expect to intensify throughout the week as managers scramble into Bitcoin looking for “crypto-beta” as Bitcoin starts moving.”
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