MENU

Bitcoin, Ripple, and Ethereum rebound higher but further declines expected

Much to the relief of traders, the crypto market’s decline has been halted and gains are being seen largely across the board on Thursday morning.

This has led to the value of the entire market climbing almost 5% over the last 24 hours to US$147.4 billion according to Coin Market Cap.

What has been happening?

Bitcoin managed to keep its head above the US$4,000 mark yesterday despite some heavy selling pressure. This appears to have given hope to many traders that the selloff is over.

However, one analyst that isn’t convinced that Bitcoin has bottomed just yet is Jani Ziedins from CrackedMarket.

According to MarketWatch, Ziedins believes that Bitcoin could fall down towards the US$3,500 level in the coming days before recovering.

The news outlet reports that he has said: “Look for the selling to continue over the next few days, but a bounce off of $3.5k-ish that returns to $5k is likely.”

Before adding that. “This is not for the faint of heart, but there will be nice rewards for those willing to jump aboard the inevitable bounce.”

While Ziedins makes a fair point, I wouldn’t necessarily agree that a bounce is “inevitable”. In fact, many analysts think that the Bitcoin price will drop through the US$3,500 level and then down to US$2,500. Some even believe the crypto giant’s price could then fall as low as US$1,500. This certainly does make it very, very risky buying on the dip.

Time will tell which analyst is correct, but for now, here is the state of play on the market compared to 24 hours ago:

The Bitcoin (BTC) price has risen 5.1% to US$4,502.34, lifting its market capitalisation to US$78.3 billion.

The Ripple (XRP) price is up 1.9% to 43.83 U.S. cents. This gives XRP a market capitalisation of US$17.7 billion.

The Ethereum (ETH) price has risen 3% to US$133.69. This has increased the ETH market capitalisation to US$13.8 billion.

The Bitcoin Cash (BCH) price has pushed 3.7% higher to US$232.53 per token, lifting the BCH market capitalisation to just under US$4.1 billion.

The Stellar (XLM) price has rebounded 5.3% to 19.83 U.S. cents. This gain means the Stellar market capitalisation has lifted to US$3.8 billion.

Outside the top five the gains continued with EOS (EOS) rising 0.8%, Litecoin (LTC) climbing 0.15%, Tether (USDT) up 0.9%, Cardano (ADA) pushing 1.6% higher, and Monero (XMR) gaining 3.1%.

Forget Bitcoin and check out there exciting tech shares

We’re living in one of the most exciting times in investing history. Innovation and a booming culture of entrepreneurship are constantly creating new companies with the potential to make forward-thinking investors very rich. Now more than ever, one small, smart investment could make a huge difference to your wealth.

That’s why at The Motley Fool we’ve been scrutinizing the ASX to uncover the kinds of companies that we believe could turn into the next Atlassian.

We’ve found three exciting companies that we believe re poised to perform in the new year. Click here to uncover these ideas!

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Two New Stock Picks Every Month!

Not to alarm you, but you’re about to miss a very important event! Chief Investment Advisor Scott Phillips and his team at Motley Fool Share Advisor are about to reveal their latest official stock recommendation. The premium “buy alert” will be unveiled to members and you can be among the first to act on the tip.

Don’t let this opportunity pass you by – this is your chance to get in early!

Simply enter your email now to find out how you can get instant access.

By clicking this button, you agree to our Terms of Service and Privacy Policy. We will use your email address only to keep you informed about updates to our website and about other products and services we think might interest you. You can unsubscribe from Take Stock at anytime. Please refer to our Financial Services Guide (FSG) for more information.