The main takeaway:
- Bitcoin quickly regained strength and managed to temporarily break above the $58,000 level
- Ethereum and Polkadot were among the biggest gainers over the past 24 hours
- Total cryptocurrency market cap is just 4% above previous ATH overshoot
Bulls have had the upper hand over the past 24 hours of trading activity in the cryptocurrency market. The total market value has grown to exceed $2.4 trillion, the highest value since mid-May. As such, it comes as no surprise that only 7 out of the 100 largest cryptocurrencies by market cap are trading in the red. Here is a quick summary of today’s key market moves.
Bitcoin momentarily exceeds $58,000 but resistance was too strong
After dropping to $55,000 during yesterday’s market action, Bitcoin quickly recovered and managed to break above the key $58,000 resistance level, however, it was not able to hold this price point for long.
Earlier today, the bitcoin price dropped to $54,550, before climbing to a 24-hour high of $58,400. BTC has resumed its two-week rally, which has seen the world’s largest cryptocurrency rise from $41,400 on September 29 to $57,530 at the time of writing.
It will be interesting to note where we go from here. Some analysts, like BTC Maximalist Tone Vays for example, are convinced that we will see BTC continue to rise and reach $100,000 by the end of 2021. Interestingly, BTC is the closest to its all-time high. The 100 largest digital assets.
Ethereum hits 5-week high on 9% gain
After Ethereum suffered a loss of nearly 15% during the sudden crash that wiped out nearly $400 billion from the market due to the cascading effect of liquidating ‘long’ positions on September 7, the second largest cryptocurrency took a long time to recover. By the end of September, ETH was still hurting and trading below the $3,000 level.
The trend reversed at the beginning of October as the price of ETH rose from $3,040 on October 1 to $3,650 on October 7. Since then, ETH has been trading in a relatively tight range and has seen mostly sideways trading activity.
The week-long trend has been broken with today’s price up around 10%. From its lowest point in the last 24 hours, Ethereum has gained nearly $400 in value and is trading at $3,765 at press time.
Polkadot is the big winner today thanks to the parachain auction announcement
It’s been a while, but Polkadot parachain auctions are finally here. The Polkadot Council has voted on a proposal for the first two batches of auctions, which will begin in mid-November. Decentralized crypto projects will compete to allocate the slot, which will allow it to build on the Polkadot network for 96 weeks.
After the announcement, the DOT price quickly rose to a 5-week high of $42.9, before rebounding to $40.6 at the time of writing. Within 4 hours, the DOT increased by more than 20%, which was enough to make Polkadot the biggest gainer among the top 100 cryptocurrencies by market capitalization.
The total cryptocurrency market cap has reached a 5-month high of $2.43 trillion
Due to the significant increase in the prices of many major digital assets, the total market capitalization was expected to follow suit. The market capitalization increased by 5.76% in the last 24 hours and reached the highest value since mid-May.
The highest market valuation reached by the crypto market came in May, when the total value peaked at $2.52 trillion. If the market “only” increases an additional 4% than we currently are, we will witness the highest market cap in the history of the cryptocurrency industry.
David is a cryptocurrency enthusiast and an expert in personal finance. He has authored several publications for different platforms. He loves to explore new things, and this is how he discovered blockchain in the first place.
