Bitcoin rallies even as the ‘hype leaves the market’

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“If we compare today to April’s highs, we can say with absolute certainty that the hype has left the market,” one analyst said.

Cryptocurrencies were slowly but steadily recovering from a previous sell-off, but are down again on Wednesday, with bitcoin price quite far from its all-time high of $ 63,000 (45,552) in April.

Bitcoin (BTC-USD) fell 0.7%, trading at $ 34,891 on Wednesday morning.

If we compare today to the highs in April, we can say with absolute certainty that the hype has left the market, said Mati Greenspan, CEO of Quantum Economics.

He also noted that the average number of transactions per day on the bitcoin blockchain has dropped to levels not seen since the darkest days of the crypto winter, about a decade ago.

But he said it was a good thing because the average transaction fees for sending bitcoin, which at one point exceeded $ 60, have dropped to a “manageable level” of around $ 8.

As someone who uses the mainchain quite frequently, I’m quite grateful for the discount even though it means my stack has been reduced in value.

Bitcoin had previously crashed due to regulatory action in China, which included a crackdown on crypto mining. However, it has managed to remain stable despite the UK financial regulator’s crackdown on Binance markets.

The price of Bitcoin was down Wednesday morning. Chart: Yahoo Finance France

Over the weekend, the Financial Conduct Authority ordered Binance, one of the world’s largest bitcoin exchanges, to remove all financial ads and promotions by June 30.

“The cryptocurrency king has recovered significantly from his recent crisis. In contrast, the bulls have lifted their digital assets above their 20-day average,” said Naeem Aslam, chief market analyst at Ava. Trade.

“Crypto traders should keep a close eye on the famous currency’s price chart as it nears its 50-day simple moving average, a critical level which is currently near $ 38,221.”

He said investors are still interested and even optimistic about the future of cryptocurrencies.

Meanwhile, ethereum (ETH-USD), the world’s second largest cryptocurrency, fell 0.4%, trading at $ 2,140.

The story continues

July could be a pivotal month for Ethereum as the number two cryptocurrency works on key upgrades, said David Russell, vice president of market intelligence at TradeStation Group.

The efforts follow a sharp drop in its price, which may create opportunities for investors.

Watch: What are the risks of investing in cryptocurrency?

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