Home / Crypto Currency / Crypto Market Volume Explodes to $13 Billion as Traders Grow Optimistic

Crypto Market Volume Explodes to $13 Billion as Traders Grow Optimistic


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Over the past three days, the volume of major cryptocurrencies and the rest of the crypto market has increased substantially, from around $10 billion to $13 billion.

Bitcoin, in particular, has seen a large increase in volume from $3.1 billion to $4.3 billion within a week, by more than 40 percent.

Led by the positive price movement of Bitcoin and its noticeable increase in volume, the value of other major cryptocurrencies like Stellar (XLM), Cardano (ADA), and Tron (TRX) has increased by the range of 3 to 5 percent.

Ripple (XRP) surged by more than 12 percent over the last 24 hours, nearly doubling its volume from $400 million to $800 million.

Where is Market Headed

According to DonAlt, a recognized cryptocurrency trader and technical analyst, Bitcoin is currently bull-biased supported by an increase in volume over the last several days.

But, to confirm a strong short-term movement, BTC will have to break out of the $6,500 resistance level with comfort to potentially test the $6,800 resistance level, which has been broken once since August 9, in mid-September.

“[Bitcoin is] in a very clean trading range. This is what I’m currently looking at and why I don’t really see much reason to be bearish,” DonAlt said.

On Coinbase, Gemini, and Kraken, three of the most heavily regulated and strictly compliant cryptocurrency-to-fiat exchanges based in the US, BTC is still being traded at around $6,390, unable to break out of $6,400.

Hence, while the sideways market of BTC is positively affecting major cryptocurrencies and tokens, in order for BTC to initiate a rally in the same magnitude as the movements portrayed by Ethereum, Bitcoin Cash, Ripple, and Stellar this week, a clean break out of the $6,500 mark will be required.

The abrupt increase in the volume and price of major cryptocurrencies and small market cap cryptocurrencies demonstrate the willingness of investors to take high-risk, high-return trades despite uncertainty in the market.

Renewed optimism towards the market triggered by various key developments including the Bakkt Bitcoin futures market launch in December and the establishment of Fidelity’s digital asset custody services has allowed the market to engage in a minor recovery.

Exchanges Slowly Recovering

As reported by CCN on November 6, a new crypto exchange rankings report published by Blockchain Transparency Institute showed a recovery in the volume of major trading platforms. Binance achieved a daily trading volume of $1 billion, which is more than the combined trading volume of five of the top 10 cryptocurrencies in the global market combined.

Tether (USDT), a stablecoin backed by US dollars at a 1:1 ratio, has also demonstrated a surge in volume to over $2.7 billion, suggesting that the holders of USDT are selling the stablecoin to invest in major cryptocurrencies like Stellar and Cardano.

Interestingly, most of the volume of cryptocurrencies that initiated upward price movements on November 6 has come from cryptocurrency exchanges in South Korea.

Featured Image from Shutterstock. Charts from TradingView.

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Bitcoin Cash Price Gets Skewed due to Exchange Trickery

A lot of confusing action is taking place where the Bitcoin Cash price is concerned. Although its actual decline in value is quite obvious for everyone to see, the real price of BCH is not necessarily what people can see on Coinmarketcap. This is primarily because numerous exchanges treat BCHABC as Bitcoin Cash already despite nothing being decided in terms of which chain will be the longest. Bitcoin Cash Value Fluctuates Heavily Depending on where traders look at, the price of Bitcoin Cash will be either close to the $400 level or down to $250-ish. That is quite a large gap between prices, yet one that is also very easy to explain. Bitcoin Cash, as people knew it before the fork, no longer exists. Most professional exchanges have also retired this price ticker, for the time being. As the hash war rages on, there are still a lot of unknown factors waiting to be addressed. Despite this ongoing kerfuffle, there is a net 5.76% decrease in the Bitcoin Cash price, and a 5.4% decline over Bitcoin. More specifically, that is what CoinMarketCap reports at this time, although this is not necessarily the case whatsoever. In fact, some exchanges are clearly jumping the gun by labeling BCHABC as BCH and thus dragging the Bitcoin Cash price down a bit more. Exchanges currently engaging in this activity include Bittrex and Coinex, neither of which plays a big role of importance when it comes to trading. However, based on the current value of BCH on Bitfinex and Gate.io, it seems a similar incident is taking place. One also has to keep in mind Bitcoin Cash was getting battered ahead of the network split as well. Most exchanges have halted trading of BCH indefinitely, primarily because the currency no longer exists. It is evident either BCHABC or BCHSV will take over that name in the future, but nothing has been decided at this point. As such, any trading referring to just “Bitcoin Cash” or “BCH” should be avoided, as most users can never be sure which currency is effectively being traded under this name. All of this skews the picture pertaining to Bitcoin Cash altogether. Coinmarketcap reports there is still $392m in trading volume for BCH, even though that is virtually impossible right now. With so many exchanges freezing deposits and withdrawals, it is evident actual BCH trading is no longer possible whatsoever. Virtually all platforms have deposits of BCHSV and BCHABC frozen as well, which only makes this market trend more confusing. It is safe to say the entire network split has been a bit of a mess first and foremost. In the case of Bitcoin Cash itself, that name will – under the current circumstances- not be used across exchanges for much longer. Instead, the two separate camps need to be treated as such first and foremost. Until things settle down – with might not necessarily happen anytime soon – the Bitcoin Cash price itself is pretty much irrelevant for most traders and speculators. Disclaimer: This is not trading or investment advice. The above article is for entertainment and education purposes only. Please do your own research before purchasing or investing into any cryptocurrency. The post Bitcoin Cash Price Gets Skewed due to Exchange Trickery appeared first on NullTX.

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