Daily crypto news alerts for 5th January, 2021
🗞Reasons why it was wrong to write off Litecoin, Bitcoin Cash
For Bitcoin, the days leading up to Christmas 2020 were unusual. Bitcoin has gained 40.74% since December 26. It can be argued that the cryptocurrency, which broke the psychological resistance level of $25,000, $30,000 and climbed to $34.8,000, is a testament to the strength of the Bitcoin bull session.
However, along with bitcoins, major altcoins such as Ethereum, Litecoin and Bitcoin Cash are also taking advantage of the market's bullish momentum.
Ethereum, Litecoin, BitcoinCash BCH are flourishing
According to report, after Bitcoin gained $34,800 in value, it's session began to fade into the background. In contrast, Ethereum rallied to $1,169 before the correction. It is important to keep in mind here that while other cryptocurrencies such as Litecoin and Bitcoin Cash are adjusting, the correlation with the BTC array may also decline due to other factors.
Bitcoin Cash upsurges, Litecoin is advances: What's going on?
While Ethereum can be added to the list of essential accessories for altcoins, Ethereum has been on the market for a long time. Litecoin and Bitcoin Cash have been technically quiet in 2020, however, as the former only indicated a handful of MimbleWimble updates.
Given the significant growth in other cryptocurrencies such as Chainlink, DOT, and YFI, it is surprising to see that these assets are still lagging behind the likes of LTC and BCH, especially with the write-offs of older cryptocurrencies before.
It can be argued here that this premise has given people who likes Bitcoin Cash and Litecoin an unexpected advantage.
Historically, Litecoin and Bitcoin Cash were part of asessionn in 2017 when both assets were at an all-time high. However, at the time of publication in the press, these cryptocurrencies were not even close to this level, making them an ideal choice for investing in a bull market.
PayPal Introduces New Spot Merchants
Since there is a lot of attention now on cryptocurrencies, this also leads to the infusion of local investors into the ecosystem. PayPal has announced the purchase of cryptocurrencies on its platform, including Bitcoin, Ethereum, Litecoin, and Bitcoin Cash.
PayPal may be one of the most convenient and easiest ways to access digital assets at the moment, but as we can see, the list is limited. However, new traders cannot understand the difference and they will most likely invest their money in the cryptocurrencies available on the platform.
The sense of authentication, despite the technical flaws, is pretty obvious with Litecoin and Bitcoin Cash. As a result, profits are returned to their sellers and owners.
🗞Price Analysis: Bitcoin Cash (BCH) For 04/01/2021
Bitcoin Cash was extremely bullying on the charts as it easily climbed past resistance levels. Bitcoin Cash rose behind the performance of Bitcoin and Ethereum and it looked like it would rise past the $460 level.
Bitcoin Cash was much more affected by bullish ether than bullish bitcoin. Bitcoin Cash BCH has risen from just below the $365 level to trading at $450 as of this writing, with resistance at $459.
RSI indicators and Stochastic RSI indicated an overbought market, but they did not require withdrawal. The bullish momentum could see BCH rise further, before merging around the $460 range.
Above $460, $500 looked like points that could be expected to act as resistance. Below $460, $440 can also serve as support.
🗞ETH has surpassed $1000 for the first time since January 2018
The New Year holidays turned out to be successful not only for bitcoin, the rate of which has approached $35,000. Following its older brother, the ether has exceeded $1,000 for the first time since the beginning of 2018.
Since the evening of January 2, ETH has grown by a third - at that time, the coin was trading at $720, and by the morning of January 4, it reached $1,090. It is quite possible that Ethereum will show a new historical record in the coming days. The previous one, we recall, is set at around $1,400 in mid-January 2018.
The growth of the ETH rate is not accidental - the hash rate of the Ethereum network has doubled since the beginning of 2020 and reached an all-time high. In addition, the number of available coins on the market has dropped to the lowest level in the last five years - ETH holders simply do not want to sell it. The CME Group's recent announcement of the launch of Ethereum futures trading was also influenced.
Recall that at the end of last year, a gradual transition to Ethereum 2.0 began. On December 1, the "zero" phase of ETH 2.0 was launched in the form of the "signal chain" Beacon Chain. Within its framework, users block ETH coins for staking. Now 1.64 million ETH is blocked, which reduces the supply of cryptocurrency on the market. At the same time, according to analysts at Flipside Crypto, Ethereum 2.0 validators earn only 0.002792 ETH per day, and this figure decreases by connecting new validators.
🗞Bitcoin price grows 170% in Q4 2020
In the fourth quarter of 2020, the price of the largest cryptocurrency rose by 168.78%. This is evidenced by data from analysts at Skew.
Over the past six years, only the fourth quarter of 2017 turned out to be the most productive for bitcoin, experts say.
The last quarter of 2020 ranked second in terms of performance for BTC.
During the first three days of 2021, the market leader showed strong growth. As a result, on January 4, the rate of the first cryptocurrency briefly exceeded $34,000, but now the coin has undergone a correction and is trading below this mark. Bitcoin capitalization exceeds $631 billion.
Skew analysts also pointed to a sharp increase in volatility in the cryptocurrency market in the first days of the new year. This trend suggests that the chances of a breakout and a crash are roughly equal at the moment.