Market Prospects: Golden Cross is disabled, Andreessen Horowitz Cycle's Prediction for the fourth Cryptocurrency Cycle
The price of bitcoin and a number of other popular cryptocurrencies together hold a market valuation of about $ 255 billion. The fiat value of these cryptocurrencies has dropped in the past four days. Despite the weekly loss of about 3-6%, many proponents of cryptocurrencies remain optimistic. Mainly due to how well the cryptocurrency markets have performed during the coronavirus outbreak and the global economy, the current difficulties.
The entire crypto market cap still stores over a quarter of a billion dollars
Cryptocurrency supporters can safely say that so far, crypto assets have been performing well since the market slaughter of March 12, 2020, also known as "The Black Year ". The entire crypto economy of over 5,000 cryptocurrencies is currently worth $ 255 billion using today's exchange rates. Today, BTC is trading for $ 9,156 per coin and has about $ 4.8 billion in 24-hour global transactions.
Ethereum (ETH) is exchanging for $ 207 per unit and has a ETH trading index worth less than $ 2 billion on Sunday. The digital currency XRP is still holding the third largest position by market cap when each coin is traded for $ 0.19. Tether stecoecoin (USDT) is the fourth largest market valuation today and the USDT market is worth $ 5.74 billion.
Bitcoin Cash market action (BCH / USD)
Bitcoin cash (BCH) lost its price wisely, also on Wednesday, May 20, 2020. At that time, BCH was trading for $ 247 per unit, but today each currency is exchanged for the price. $ 233. BCH market capitalization is worth $ 4.3 billion today and has recently eclipsed the share of Coin coins. In fact, nearly 100 million USDT was created on May 23, 2020 according to the Whale warning data.
On Sunday morning, 70% of BCH transactions were made by tether, followed by BCH / BTC swaps worth 17.4%. In addition, the leading trading pairs with bitcoin cash include USD (3.06%), KRW (2.35%), ETH (2.32%), GBP (1.50%) and USDC stecoecoin (0.59%). Bitcoin cash has about $ 99 million in total global transactions on Sunday.
Andreessen Horowitz predicts the ‘Fourth Cryptocurrency Cycle
Silicon Valley venture capital firm, Andreessen Horowitz, recently published a blog post called The The Crypto Price-Cycle. Chris Dixon and Eddy Lazzarin say that a fourth crypto cycle of Gabriel is on the horizon. Although the cryptocurrency cycles may look chaotic, in the long run, they have created steady growth of new ideas, code, projects and startups, the underlying drivers of change. New software, Dix Dixon and Lazzarin wrote in the post.
The 2017 cycle has created dozens of interesting projects in many areas including payment, finance, games, infrastructure and web applications. Many of these projects will launch in the near future, possibly advancing the fourth cryptocurrency cycle. Recently news.Bitcoin.com reported on how Andreessen Horowitz raised more than $ 515 million for a cryptocurrency focused fund.
Despite the recent gold cross formation, the BTC price has dropped by 3% since May 20, 2020. This particular golden cross predicts a bullish scenario for BTC. Basically, the 50-day moving average (MA) and the 200-day MA have initiated the gold cross, but prices never follow the traditional results to the north. Although the gold cross became a reality, the Moving Average Convergence Divergence (MACD) did not show any bullish signals.
A chart showing the appearance of the Golden yellow cross line four days ago.
Although, it is difficult to measure the market with divergence, especially when considering the options of a reversal. While the 50-day and 200-day MA have shown a definitive gold cross, the volume of market trading is not sufficient to push prices forward. Many traders were hoping for some kind of sign from the golden cross event just as they did for a suicide. Unfortunately, the BTC chart shows the formation of a golden cross, which was pointless during this period.
What do you think about current crypto market action? Let us know in the comments section below.