Altcoins bounce to new highs as Bitcoin price trades sideways under $50K

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The cryptocurrency market recovered a few of the losses from the previous couple of days on Feb. 25 as Bitcoin (BTC) briefly pushed again above the $50,000 stage and a number of altcoins have seen double-digit worth positive factors. 

Information from Cointelegraph Markets and TradingView reveals that Bitcoin bounced off a low of $45,200 late on Feb. 24 earlier than rallying 15% to $52,000 within the morning buying and selling session.

BTC/USDT 4-hour chart. Supply: TradingView

Whereas the rebound within the cryptocurrency market is a welcome sight for bullish buyers, Bitcoin worth remains to be discovering resistance above $50,000, and this stage has but to be confirmed as assist.

Economists have additionally begun to worry about the rising Treasury yields, that are often a sign of weak point for the economic system and may have a big influence throughout many markets.

Catalysts for a $100,000 Bitcoin

Now that Bitcoin has entered a slight corrective part, analysts are debating whether or not or not the digital asset will be capable to surpass $100,000 by the top of 2021.

In accordance with Giles Coghlan, chief forex analyst at HYCM, the reply to that query “relies on who you ask,” with crypto advocates feeling “very bullish” that 2021 “would be the 12 months Bitcoin steps into the limelight,” whereas traditionalists stay skeptical concerning the “dangerous, unpredictable market.”

Coghlan sees the momentum behind the current positive factors being pushed by “most people hype” following pro-crypto tweets from Elon Musk and Mark Cuban, however now the passion “appears to be waning” as Bitcoin struggles to carry $50,000.

Because of the unstable nature of BTC, it’s “too early to inform if this would be the new baseline assist stage.”

Coghlan mentioned:

“I wouldn’t be stunned if the worth slowly drops again to $40,000 USD within the coming weeks, which appears to be a extra real looking stage of assist. A drop beneath that is additionally believable primarily based on how Bitcoin carried out over the course of 2020.”

The analyst sees the acceptance and endorsement of Bitcoin by “massive institutional funds and regulatory our bodies” as the subsequent large driver of latest worth highs, which might additionally finish the domination of the crypto market by retail merchants and will result in a “much less unstable” market in consequence.

Bulletins and protocol upgrades increase altcoin costs

A number of large- and mid-cap altcoins noticed their costs breakout on Thursday as current bulletins and new integrations pushed buying and selling volumes increased.

Each day cryptocurrency market efficiency. Supply: Coin360

Cardano’s ADA is one of the best performing coin within the prime 10, at the moment up 10.4% and buying and selling at $1.15, whereas Fantom (FTM) continues to learn from its current cross-chain integration with Ethereum and is up 31.79% to a worth of $0.7755. 

Different notable performers embody Enjin Coin (ENJ), which is at the moment up 34% and buying and selling at $0.6221. Polygon’s MATIC has additionally elevated by 27.74% and trades at $0.2023.

BTC/USD each day chart. Supply: Coin360

The general cryptocurrency market capitalization now stands at $1.533 trillion, and Bitcoin’s dominance charge is 61.3%.