By
Kseniia Klichova
April 16th, 2024
Bitcoin’s all-time high rally seems to be over with the currency loosing $155 in value over August 21-22, Bitcoin Cash crashed down after reaching a record high during the weekend, Ethereum climbed to near two-month high.
Bitcoin price drops below $4,000 marking a period of all-time highs’ end. The decline started on August 22 when the bitcoin price has seen a fall of more than $155 in comparison with the trade closing of August 21 when the price made $4001.
At press time, according to the CryptoCurrency Market Capitalizations Index bitcoin trades at $3808, with market cap making $62,9B. That’s the lowest total observed during the last seven days.
According to some experts, recent bitcoin rally might have reached its peak, given that even today’s lowest total is 550% higher than the token’s last year price.
At the same time, some professional traders claim to be losing confidence in the rally, stating the the time of bull market is for now over. They reason their opinion by the fact that bitcoin prices fell below $4,000 four times since first surpassing the milestone, which indicates that the price won’t be pushed higher in the near future.
Other market observers predict that bitcoin might stabilize around the $4,000 mark. Goldman Sachs’ analyst predicted bitcoin price would hit $4,827, another expert set the price target of $7500 for the currency.
Despite bitcoin’s future rise or fall is at issue now, the next big date will be the Segwit2x in November, which is likely to clear up the situation.
Bitcoin cash also experienced rather acute decline on Monday trading down nearly at $579 a coin after soaring to a record high of $1000 during its weekend rally. At press time, bitcoin cash shows some recovery trading at $728 with market cap constituting $12B. In addition, it is still up about 150% since its emergence as the result of the split from the original bitcoin network on August 1, according to CryptoCurrency Market Capitalizations Index.
Some observers feel optimistic about the bitcoin cash’s future. According to them most holders of the bitcoin cash weren’t able to actively trade their holdings as a number of Bitcoin exchanges and wallets didn’t immediately upgrade their infrastructure after the bitcoin split. Now, as most people can buy and sell it, experts believe, that the wider speculative boom is on.
Bitcoin cash skeptics on the other hand state that bitcoin cash’s price jump was due to the speculation. Some claim that there is a theory circling around the web that the main backers of bitcoin cash are inflating its price.
For the context, having reached its all-time high during the weekend, bitcoin cash is believed to have become more profitable to mine than bitcoin, having attracted nearly 30% of the mining power of the original network, in comparison to just 5% it had several days earlier.
A number of mining pools have given the independent miners that use their software the option to dedicating their computing power to both networks. Still, miners so far appear to try gain profit from the competition between the two networks in their pursuit of users’ appeal.
Ethereum currency, in contrast to bitcoin and bitcoin cash, reached two-month high on Monday being traded at $347.05.
“I think the gains in ethereum are part of the market’s reaction to the increasingly fractured bitcoin community,” said Benjamin Roberts, co-founder and CEO of Citizen Hex, an ethereum-focused start-up backed by three Canadian venture funds.
At press time, according to the CoinMarketCap, the currency decreased by 10% in comparison with its Monday peak trading at $314 with market cap making $29,5B.
Another digital currency Monero, a cryptocurrency focused on making transactions confidential and untraceable, showed tremendous growth, rising by more than 80% on August 21. The value reached its maximum of $95.08 per coin, while its market capitalization exceeded $1B for the first time.