After days of unprecedented drops, the general cryptocurrency markets have posted some slight recoveries, with most altcoins trading up 5%.
Bitcoin Posts Slight Gains, Short Term Bounce Could be Coming
At the time of writing, Bitcoin (BTC) is trading up nearly 5% at its current price of $4,600. Currently, BTC is trading up nearly 10% from its 2018 low, which was set yesterday when its price fell to the $4,200 region on the aggregated markets.
Despite the markets looking relatively weak, one analyst believes that Bitcoin could be nearing buy territory for those with a large appetitive for risk. While speaking to MarketWatch, Jani Ziedins of CrackedMarket said that a short-term bounce may be imminent for BTC, and traders looking to make a quick profit should set buy orders in the $3,500 region.
“Look for the selling to continue over the next few days, but a bounce off of $3.5k-ish that returns to $5k is likely. While that doesn’t sound like a lot given the latest tumble, a bounce from $3.5k to $5k is a nearly 50% payout for just a few days of work. This is not for the faint of heart, but there will be nice rewards for those willing to jump aboard the inevitable bounce,” he explained.
Altcoins Trading Up, Recent Market Crash Could be Fault of Bitcoin Cash Drama
At the time of writing, most major altcoins are trading up 5% or more, with XRP, ETH, and BCH trading up 4%, 6%, and 5%, respectively.
One of today’s best performing altcoins is Dash (DASH), which was also able to avoid much of yesterday’s bloodshed. At the time of writing, Dash is trading up over 10% at its current price of $114 and is currently trading up 14% from its recent lows of $100.
Many traders and analysts alike have attributed the recent market carnage to the drama surrounding the recent Bitcoin Cash (BCH) hard fork, which created a metaphorical civil war in the cryptocurrency community between Bitcoin Cash ABC and Bitcoin Cash SV, the latter of which is the hard fork that is led by Dr. Craig Wright, who is commonly referred to as “Fake Satoshi” due to his incessant claims regarding his status as the founder of Bitcoin.
Popular cryptocurrency analyst and trader, Lisa N Edwards (@LisaNEdwards), spoke to Covesting about her thoughts regarding the current state of the markets, explaining that the market’s latest move down has increased its unpredictability, and echoing claims that “Fake Satoshi” is to blame.
“Last time, I said Santa was bringing the BTC prices higher for Christmas... Christmas got canceled by the biggest Scrooge my brother, Dr. Craig Wright. With the uncertainty the market has at the moment, it is a matter of looking at the charts one step at a time and waiting to see if supports hold. It is an extremely volatile market right now, but after months of sideways, in my opinion this is a welcome change.”
How Bitcoin responds to its current prices over the next few days will likely set the tone for the remainder of the year.