Altcoins Record a Steady Rise While Bitcoin Remains Range-bound

Bitcoin began to recover after the worst start to a year in the so-called Crypto Winter. However, Bitcoin’s price late Thursday was roughly stagnant after declining in the early afternoon, and spot trading volume remained modest. At the time of writing, Bitcoin is changing hands at $37,923, roughly the same as 24 hours ago.

Bitcoin at a Stalemate

In early February, certain market trends indicated that Bitcoin might soon reach $40,000. One such indicator suggests that Bitcoin is currently undergoing a period of extreme undervaluation. Additionally, Bitcoin’s trading volume on major centralized exchanges has continued to drop from the previous day. On Thursday, Bitcoin was trapped in a tight band of $36,000 to $37,000 as some experts remain cautious about speculative assets. Also, after suffering a loss of more than 4%, Bitcoin selling pressure has primarily vanished during American trading hours. According to Santiment, positive vs. negative comments on Bitcoin across crypto social media platforms had its second-most favorable week in three months. And like the last time, crypto markets have fallen again. Bitcoin traders and sellers have been frozen in their tracks for the previous few days, with little trading volume and muted price movement. Most technical indicators are neutral, suggesting that BTC may remain in a limited price range during the Asia trading day. Since November, purchasers have consistently lost ground to sellers, given the persistent downtrend. Based on the intense selling pressure, the four-hour 100-day moving average has been a helpful indicator of downtrend resistance. The overall cryptocurrency market capitalization is $1.724 trillion, and Bitcoin’s dominance hovers around 41%.

Altcoins Signals are Red

On Thursday, most cryptocurrencies were also in the red. The second-largest cryptocurrency by market capitalization, Ether, was trading at about $2,660 on Thursday, down around 1% in the previous 24 hours. While Bitcoin has remained relatively flat recently, many altcoins have quietly crept back and closed the gap with their prior-slide prices. $MANA (+22%), $XTZ (+31%), $MKR (+32%), $QNT (+53%) and $CCXX ( +65%) are a few of the notable performers over the last week. The recovery in cryptocurrency prices has been significant this month, and leading coins including Ethereum (ETH), Binance Coin (BNB), and Cardano (ADA) have benefited. On Thursday, the momentum of the comeback appears to have halted. The value of Ethereum has remained virtually identical compared to the day before, indicating that it hasn’t changed much since then. The price of Cardano and Solana has increased by around 3% in the last 24 hours, whereas meme coins dogecoin and its spinoff Shiba Inu have almost identical prices as they did yesterday. Overall, the crypto market has increased by more than 1% in the last 24 hours and is worth $1.72 trillion. A typical Bitcoin market downturn affects the whole crypto sector: from alt-coins to DeFi. Many people are HODLing for life. New ideas are needed to keep afloat. Despite the market downturn, projects in the crypto space must continue to push innovation for the ecosystem to remain viable.