In the last seven days, a lot of cryptocurrencies have experienced a sudden rally. Some top currencies such as Bitcoin, Litecoin, Ethereum, and EOS have been in the green recently. So far, there are a few signs that the bulls are charging up.
Bitcoin (BTC) Price Today – BTC / USD
The foremost digital currency, bitcoin is up by about by about 9.84%, while Ethereum is up by 21.24%. Litecoin has also risen by up to 23.13%, while EOS is up by 35.72%.
Coinmarketcap released the details of piece changes, and the market has been buzzing since then. This development is one that enthusiasts have been looking forward to such news.
Bullish signs show that this rally is sustainable
So far, there are signs that reveal that this rally may be sustainable in the long term. The first sign of this is the breadth. The rally has extended to the crypto chain as a whole. Just seven cryptocurrencies dropped in the last week out of a 100. The remaining 93 digital currencies advanced on the scale.
This sign has shown market technicians a confirmation that the rally is strong enough to hold. It also suggests that new money is being introduced into the crypto sector rather than the old money passing from one coin to another.
Michael Noel, the CEO of Blockchain Consultants, spoke on this new development. He said,
“Interestingly, it appears that the momentum behind the recent Bitcoin rise comes more from fiat and stable coins than from other cryptocurrencies… This move from Fiat currencies shows at least some consensus that BTC value, is better long term than in traditional currencies.”
Interest in blockchain projects by enterprises is on the rise
The rally is also being influenced by enterprise interest in Blockchain projects as Noel suggested. Like a collaboration between the fintech startup, stellar, Mastercard, a Western Union and Ripple project as well as the introduction of a NASDAQ Bitcoin index.
Lastly, more institutional investors are accepting bitcoin. Founder and CEO of PCG Advisory Inc, Jeff Ramson said,
“Each day we are hearing of more well-known fiduciaries, banks, funds, etc. investing into crypto/blockchain infrastructure, and I believe Bitcoin is the proxy for most who want to have exposure to the crypto asset class, while these markets develop,”
One clear example of this is the news a week ago which revealed that JP Morgan is implementing his personal cryptocurrency. Ramson says, “While not significant to the price of Bitcoin, in reality, this also has given additional credibility to the space, which is helping with the price of Bitcoin; and I believe, this acceptance will help sustain the crypto asset class for the long run,”
What to expect in the coming weeks
As long as the top digital currency breaks the two main resistance levels, this rally will be sustained. The resistance levels are $4000, and $4800, as reported by Henry James Fincross, International Deputy CEO & CSO. This news is a good one for the crypto space after the series of price dips. Hopefully, the bull run will start soon.