Bitcoin has started the day posting minor losses. At press time, the largest cryptocurrency by market cap is trading at $11,802.79 (-0.66%), according to CoinMarketCap.
Chart of the USD/BTC trading pair from EXANTE
For its part, Ethereum has grown to $472.54 (+2.58%), while XRP has increased by 0.84% and is now trading at $0.295.
The price of the second largest crypto in the market yesterday reached $475.75 (+4.9%) for the first time since July 2018. The Ethereum creator Vitalik Buterin recently said the update of the crypto to its second version has caused more difficulties than expected. However, he has highlighted the transition to Ethereum 2.0 will eventually take place, as no fundamental issues have been found.
Analysts also expect the launch of the yETH product by the popular DeFi yearn.finance project will have a positive impact on the Ethereum market.
FxPro's team of analysts say:
"Buyers have once again helped Bitcoin reach $12,000. Although the reference cryptocurrency has managed to stay above this level for about 7 hours, it has fallen back shortly thereafter. However, the pressure is not too strong, which is the reason why the crypto is trading at around $11,850 this morning.
The tug-of-war between bulls and bears continues. The fact that the crypto has reached the next psychological and technical level is positive news for the market and opens the door to more growth. The crypto's trading volume has also posted a 14% increase over the past 24 hours.
The total capitalization of the crypto market last week increased by $33B. In spite of the fact that the price of the reference crypto only grew by 4.5% during this period, its contribution to the total market cap amounted to $9.3B, which can be considered a very good result.
The market has been driven mainly by DeFi coins. However, there are more and more pessimists about its prospects. They believe this is a bubble that will eventually burst and cause funds to be redirected back into major currencies. There is also the possibility that interest in the market will cool off for a long time.
The greed and fear index for Bitcoin and other major cryptos is in the 'extreme greed' area after adding 8 points in one day. The indicator continues to go against the RSI for the BTC/USD, which shows room for growth without approaching overbought levels."
According to CoinMarketCap’s ranking, 6 currencies on the top 10 are in green.
As for the market cap of all currencies listed in CoinMarketCap, it stays at $386,286,879,825.
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