What emerges from a very positive weekend is the decided increase in volumes in the crypto sector and in particular for bitcoin. What happened between Friday and Sunday has changed the reality of a situation that until Friday morning was completely different.
The strong rise of the entire sector driven by bitcoin, which in a few hours has achieved the highest increase in intensity since 2011 with a +40%. A leap that has dragged the rest of the sector cancelling the bearish movement of recent weeks and for some altcoins of recent months.
On Saturday, despite the days before holidays when the traditional markets are closed for the weekend, the volumes of bitcoin have set an absolute record of trade with over 7.3 billion dollars, which exceed the 6.9 billion dollars recorded at the end of June, with over 791,000 bitcoins traded in a single day.
Sunday was also a busy day with over 585,000 bitcoins traded, the fourth record in the history of bitcoin. This only highlights the sharp increase in trade in the entire crypto sector tripled in just 48 hours compared to the average of recent weeks.
Today also saw a sharp increase with 121 billion dollars and a market cap that went over 250 billion dollars, +25% from the minimum levels recorded between Wednesday and last Thursday. This shows that new liquidity is flowing in, fuelled by the statements of the Chinese president last Thursday. In addition to the spot markets, the trading volumes on the Bakkt platform also recorded over $10.3 million, which is the absolute record. In just one day, more bitcoins were traded than in the previous month. These are indications that support the sector.
The day shows a prevalence of positive signs on more than 70% of cryptocurrencies, at a particular beginning of the week following the exciting weekend, the best since 2017.
The best three rises among the top 100 are Chinese projects. The best of the day is Bytom (BTM) which with +90% climbs the ranking and ranks in 40th position, followed by Nebulas (NAS) which gains 35% and climbs among the top 100, in third place is Ontology (ONT) which marks a +32% of the day.
The other best-known Chinese project to performed well is TRON (TRX), which regains 10th place and now earns 20%, the best among the big ones. TRON returns to revise area 0.023 dollars, levels that it had abandoned in early August.
On the other hand, the worst double-digit decline is in Nexo (NEXO), which drops by 10%.
The dominance of bitcoin rose again to over 68%, levels that BTC had abandoned in mid-September. Despite the good but modest performance of Ethereum and Ripple, ETH slipped below the 8% threshold, while XRP barely managed to defend its 5.1% market share after pushing to almost 6% last week.
Bitcoin in a few hours has swept away fears of a bearish movement, alarm bells rang between Wednesday and Thursday with the break of the 7,800 dollars. The movement between last Friday and Saturday pushed prices to 10,400 dollars, values abandoned in mid-September.
Prices yesterday went to test the $9,100, prompting a new buying reaction that brought the price close to the five digits. It is now stabilising in the $9,400-9,500 area.
For BTC it will be necessary to consolidate prices at $9,500 to expect a boost above 10,000 supported by volumes and purchases.
Ethereum benefited from the strong bullish movement of Saturday night that saw the quotations collide with the technical and psychological threshold of medium and long term 200 dollars, where prices experienced a retracement that reached 175 dollars. In these last hours, ETH is again facing the threshold of 175 dollars, a technical and crucial level to be maintained in case of return to 185 dollars.
For ETH it is necessary not to go back below 165-160 dollars and to consolidate the breaking of the bearish trend that was forcing prices into a downward trend since last June. The 175-180 dollars, a short-term support area, will be the level to be defended in order to avoid the risk of going back to test the delicate threshold of 165 dollars.