GENERAL OVERVIEW
The last week has been one of the best ever for BTC, crossing 40’000 USD for the first time and continuing to stamp all-time high prices. Bitcoin is once again on everyone’s lips and cryptocurrencies together with it.
The crypto market is now worth more than 1’000 billion USD. However, the market capitalization of altcoins is still just about 60% of how much it was at its peak at the beginning of 2018. In other words, an altseason could be around the corner if a pattern already seen in the past is going to be repeated. Actually, the past week has already seen a very good performance of altcoins, as you can see in our table above.
Whatever the case, mediatic exposition is booming for BTC and cryptos, and this is a great occasion for the blockchain technology to showoff the developments of the past couple years.
Traditional financial markets experienced a great week as well. Turbulence centered around the protest against Joe Biden nominee as President of the USA from Donald Trump fans’ were not able to ruin the mood of investor, which actually bet that the market will enjoy additional stimulus now that Democrats control the Senate as well.
Looks like yesterday that BTC crossed and kept the 20’000 USD level for the first time ever. We were witnessing history then. It actually was mid-December, not even a month ago, and we are now already seeing a more than doubled price. Bitcoin closed the period with a price of 40’829 USD and a +39.35% performance w/w, once again the all-time-high close on a seven days period for our data series. It touched an absolute all-time-high price of 41’950 today on January 8th. We stress again how there is little merit in looking at eventual resistance levels, which will manifest themselves. Trend and momentum indicators could probably give an useful indication in a situation like this. Regardless, the trend seems all but weakening at the moment.
Overall, still BTC performed better than top altcoins as represented by our indexes.
TOP PROJECTS
15 of the 17 cryptos we cover reported a double-digit positive result, with just a couple losses. The median return was +25.38%, which shows how great the week actually was in terms of returns.
Stellar (XLM) has been the best performer, reporting a +105.39% return w/w for a price of 0.294 USD per coin. The coin is rising after the announcement that is is going to help the Ukrainian Central Bank to develop a digital currency. Also, some have suggested that being Ripple (XRP) one of its main competitors and with XRP struggling with the SEC, XLM could be thriving off the misfortunes of its rival.
Monero (XMR) was the last crypto in terms of return. It reported a -13.59% performance w/w in order to close at 144.4 USD.
On a wider period, however, Litecoin (LTC) and Bitcoin (BTC) are the best projects in terms of return, with only Ethereum (ETH) and Cardano (ADA) coming close.
TECHNICALS
Looking at the last seven days’ prices, it is evident how BTC is leading the pack upwards, being the nearest coin to the top of its range. However, a general health is also apparent among top projects, with no coin experiencing a significant retracement.
Looking at technicals, the situation looks extremely positive both on the 7 days and 30 days frameworks. RSI is flashing an overbought situation in the latter, particularly for BTC.
On a monthly basis, Litecoin and Bitcoin are the nearest to their upper range bound.
We proceed to have a look at the frequency distributions of the coins’ price in terms of satoshis to have a look at the relative performances. Bitcoin clearly outpaces its peers once again, with few of the top coins showing the resemblance of a balanced situation.
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DISCLAIMER
The views expressed in this report reflect the analysts’ personal views about the cryptocurrencies subject of the report. These views may change without notice and are subject to market conditions. The report is prepared for information purposes only and by no means constitutes a solicitation to investment or disinvestment. All the data are taken from Binance at 14:00 UTC on the 13th November 2020. USD and USDT are used interchangeably for illustration purposes. All the presented valuations, indicators, and analyses are subject to errors. The report is for personal use only and should not be republished or redistributed
