Bitcoin price rally continues and today the cryptocurrency skyrocketed to a new key threshold of 12,500 USD. At 08:00 a.m. ET, Bitcoin is trading at 12,647 USD, which represents a 11.5% increase on a daily basis and highest value since January 2018 (just a month after the historical peak of 19,500 USD).
The price of the currency has increased more than three times since the beginning of the year, with more noticeable growth this month.
The cryptocurrencies enjoy a strong performance, attracting more and more interest from traditional institutions. JPMorgan Chase & amp; Co reported high customer interest in coins when carrying out bond transactions, and Facebook has already announced plans for its own cryptocurrency called Libra, which gave an additional impulse to the market.
However, perhaps most notable is the fact that Bitcoin also crossed above 60% market dominance for the first time in over 17 months. A metric maintained by data provider CoinMarketCap, the Bitcoin Dominance Index shows bitcoin continues to gain altitude at a time when broader confidence in the crypto market, now 365 billion USD, has yet to return.
Crypto market recap
The cryptocurrency market is mostly into the green, but the gains are coming from the Bitcoin’s rally.
Ethereum gained 8.65% to 338.85 USD. Today’s price represents a 22% move upwards in just one week. Most altcoins have experienced consolidation or stagnation over the last few days. However, it seems that as Bitcoin stabilizes, more prominent altcoins such as Ethereum are pumping as investors shift profits from BTC to ETH. The 20-day EMA has crossed the 50-day EMA, which is a very bullish signal. Price is also trading well above the 200-day EMA – another bullish signal. There was some resistance between the 300-315 USD levels that has now become support, which I predicted could happen last week. These new support levels could help maintain the price in an ascending trajectory. The volume also shows there’s a thin line separating Ethereum from where it currently sits and the 500 USD level. Assuming the market remains positive, I expect ETH to power past 400 USD in a few days.
Ripple’s XRP is up by 3.3% to 0.4817 USD. The 50-days SMA of XRP lags behind the current price by 16.36%, which points out to the bullish vibe in its price trend
Bitcoin Cash and Cardano are up by 6.6% each, being among the best performers during the trading session.
EOS is up by 3.1% to 7.37 USD, while Litecoin and Binance Coin added 1.7% and 1.9%, respectively.
And while the Top 10 cryptocurrencies are all into the green, Monero is the biggest loser today, declining by 8.6% to 106.27 USD.
Today, the total cryptocurrency market value rose to 365.388 billion USD.
European regulators want detailed information on Facebook’s cryptocurrency
The cryptocurrency Libra, which Facebook plans to release, has been the subject of a careful study on Tuesday, with central bankers and EU regulators asking for more detailed information about the company’s plans.
The British Financial Control Service has indicated that there is still insufficient information to understand the Libra. The new cryptocurrency may be of great importance for public policy, noted the agency, adding that it would not be easy to give the green light to the project if it did not get any further details.
Facebook announced last week that it plans to release Libra in the first half of 2020 as part of its efforts to expand its e-commerce and digital payments business.
The cryptocurrencies, such as Bitcoin, remain among the least regulated financial instruments. The response of national and international financial regulators and monetary policy authorities to the Libra project will be crucial for its future, Reuters reports.
Bank for International Settlements, which unites central bank governors, said late last week that politicians should quickly coordinate their regulatory actions to respond.
G20 finance ministers and central bankers agreed in March 2018 to monitor cryptocurrencies, but did not specify concrete actions to be taken. Facebook plans are not expected to be part of the agenda of the G20 summit in Osaka at the weekend