Why is the crypto market up today?

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Amid its struggles after the collapse of FTX, the cryptocurrency market is today recording modest gains, driven by the equally modest price increases recorded by its top assets by market capitalization – Bitcoin (BTC) and Ethereum. (ETH).

Indeed, the total crypto market capitalization at press time stands at $811.31 billion, demonstrating an increase in this metric of 0.38% over the previous 24 hours, according to CoinMarketCap data. retrieved by Finbold on December 20.

Total cryptocurrency market capitalization over 1 month. Source: CoinMarketCap

That said, the current crypto market cap is still a long way from its peak of November 9, 2021, when it commanded wealth worth $2.92 trillion, with its current state representing a staggering drop of 72, 23% since then, as well as 62.97. % since the years turn.

Increases in global crypto market capitalization come as internet personalities like former kickboxer Andrew Tate express excitement for the space and the launch of decentralized finance (DeFi) protocol Fluidity Money on the Ethereum mainnet .

On top of that, the report revealed that the number of dead coins dropped by more than 70% in 2022 and 92% of high net worth clients were looking to access crypto, as Finbold previously reported. Furthermore, the global market capitalization inflows are also a direct result of the gains recorded by Bitcoin and Ethereum.

bitcoin price analysis

Indeed, Bitcoin is recording daily gains of 0.51%, changing hands at a price of $16,827 and recovering from the weekly loss of 3.56%, while its market cap stands at $323.73 billion. dollars, maintaining its position as the largest cryptocurrency by this indicator.

24 hour Bitcoin price chart. Source: Finbold

Meanwhile, the technical analysis (TA) indicators for Bitcoin on the 1-day gauges are still slightly bearish, as their summary suggests selling at 15, the oscillators’ output pointing to buy at 4, and the moving averages (MA ) in the strong sell zone at 13, according to data from TradingView.

Ethereum Price Analysis

Meanwhile, Ethereum has increased its price by 2.42% to current $1,213 as it recovers from the 5.80% decline over the week, with a market cap of 148.42. billion, making it the second largest crypto asset by this metric. , preceded only by Bitcoin.

Ethereum 24 hour price chart. Source: Finbold

In terms of the 1-day TA, the Ethereum gauges are also in the bearish zone, pointing to a sell at 14, as summarized by the oscillators suggesting buy at 4 and the MAs in the strong sell zone at 13 – from the same way as the flagship digital asset, although strongly outperforming Bitcoin in the second half of 2022.

It should also be noted that market capitalization entries could change depending on the movements of these two major digital assets as bulls and bears continue their daily fight over who controls the cryptocurrency market.

Whether their moves will remain bullish will depend on developments in the crypto industry, such as possible ETH staked pullbacks, whales stocking Bitcoin, the outcome of Ripple v. Securities and Exchange Commission, as well as the macroeconomic landscape, including the Federal Monetary Reserve. Politics.

Disclaimer: The content of this site should not be considered investment advice. The investment is speculative. When you invest, your capital is at risk.

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