Bitcoin, the flagship cryptocurrency, recently bounced to $8,100 from a recent dip that saw its value go down to $7,900. The cryptocurrency’s speedy recovery, coupled with gains seen by other coins, has helped the market hit $334 billion, eyeing the $350 billion mark.
The cryptocurrency’s dip to $7,900 was reportedly caused by a whale dumping over $50 million worth of the cryptocurrency on Bitfinex in one single trade. Given bitcoin’s swift recovery, the $7,900 mark is now being seen as a crucial support for some analysts, as the cryptocurrency keeps bouncing back from it.
The recent dip saw many believe bitcoin’s rally from its April 6 low of $6,600 was about to end, which would potentially signal another bearish period. Right now, indicators like the moving average convergence divergence (MACD) show the cryptocurrency may not be done surging.
Over the past few weeks bitcoin has been seeing sudden spikes in its price. These are seemingly being caused by whales, who are manipulating the cryptocurrency to pull long and short squeezes on investors holding these positions, allowing them to increase their profits.
As previously covered, these moves may not be intentional, as institutional investors and whales can just be getting in on the market in light of its positive developments. Over the counter brokers often report facing extremely large buy orders they’re unable to cope with.
Lots of buzz in OTC markets....— Crypto_Ed_NL (@Crypto_Ed_NL) April 16, 2018
We received several messages from trusted sources about buyers looking to buy 200-300-500k BTC but no sellers available.
When it comes to fundamentals, the cryptocurrency market is as good as ever. Not only have cryptocurrencies been introducing new technologies, new use cases keep appearing. Moreover, as recently covered, large institutional investors like George Soros and the Rockefellers have announced their entry into the market.
Cryptocurrencies like Monero (XMR), 0x (ZRX), and Tron (TRX) are showing strong performances that help the cryptocurrency market climb towards the $350 billion mark. Privacy-oriented Verge (XVG), on the other hand, isn’t doing too well, as in the last 24-hour period it is down by about 33 percent. XVG started plummeting after revealing its mysterious partner is adult entertainment website Pornhub.