New Delhi: Major cryptocurrencies continued their upward trend on Monday after a decent rally over the weekend. In some currencies, however, investors took profits off the table. Seven of the top 10 cryptocurrencies were trading higher at 9:30 a.m. IST, led by Dogecoin, which rose as much as 13 percent.
Global crypto market capitalization surpassed the $ 2 trillion market, more than one percent more than last day. The total volume of the crypto market also increased by over 2 percent to $ 113.61 billion.
Indian crypto startup Polygon said it is acquiring Hermez, a zero-knowledge (ZK) cryptography-based scaling project, in a deal that will cost the company $ 250 million. The company pays out the amount in MATIC tokens.
Crypto traders still have to wisely amass leverage – essentially borrowed money that can add to returns or losses – as in previous rallies.
The dynamics in the entire crypto market are very positive. For the first half of the weekend, the markets were looking for support, said Edul Patel, CEO and co-founder of Mudrex. “However, in the past 24 hours, things have heated up and BTC has got closer to $ 48,000. ETH is also looking pretty good after topping $ 3,300. We will likely see increased volatility in the next 24 hours, ”he added.
Tech View by Siddharth Menon, COO, WazirX
Bitcoin formed a classic flagpole pattern in the weekly timeframe. It has broken out of the flag pattern and is ready to resume its uptrend. We shouldn’t be surprised if it makes higher highs and higher lows from then on. The crypto market looks strong and every dip has been bought in the past week.
Key levels in the weekly timeframe:
resistance: $ 63000
support: $ 37,350
Ethereum broke out of the rectangle pattern after a long consolidation of 14 weeks. After the EIP-1559 upgrade, Ether looks more attractive than ever and could be one of the reasons behind the outbreak. Ether continuously outperforms Bitcoin in this cycle that began after the March 2020 crash last year.
Ether gained 3000% over the same period against Bitcoin’s 1000% rally. Bitcoin’s dominance has decreased from 64% to 44% in this bull run. Quality projects such as Ether- and DEFI-based projects help the legacy market to grow.
Cardano made it to the top 3 last week, gaining 43% over Bitcoin’s 3.8% increase. Some of the most popular tokens among investors, BNB and DOT, gained 13% and 5% respectively over the past week.
The time is in UTC and the daily time frame is 12:00 PM – 12:00 PM UTC
(The views and recommendations in this section are the analysts’ own views and recommendations and do not reflect those of ETMarkets.com. Please consult your financial advisor prior to entering into any position in any of the assets.)