After a strong carnage earlier this month, Bitcoin and the general crypto market are showing some strength as of now. In the past few hours, Bitcoin has regained its position above $38,000.
At the time of writing, BTC is trading 1% higher at $38,162 with a market cap of $723 billion. Similarly, Ethereum (ETH) is trading near $2600 levels. On-chain data provider Santiment reports that despite the pullback, traders remain skeptical. It adds that this negative sentiment “has a good chance of fueling further price increases”.
Furthermore, other data shows that as the BTC price rises above Bitcoin, the Fear and Greed Index has declined from levels of “extreme fear” to now “anxiety”.
Bitcoin Fear and Greed Index is 29 – Fear
Current price: $38,073 pic.twitter.com/JiSM7SgZEC
— Bitcoin Fear and Greed Index (@BitcoinFear) January 30, 2022
Institutional players, on the other hand, continue to dominate Bitcoin on-chain activity. if per Glass Button:
Bitcoin transfer volumes are still dominated by institutional-sized flows, with over 65% of all transactions valued at over $1 million. The upward trend in institutional dominance in onchain volumes started around October 2020 when prices were around $10k to $11k.
Ethereum, Altcoins to watch out for
On the other hand, the on-chain data provider also reports that Ethereum’s address activity remains stable despite the crash at the beginning of the month. It notes:
Ethereum has regained the $2,550 level to close out the week. With Bitcoin closing the week with a nice push in the back, and $ETH‘s active address remains stable, the #2 #crypto assets by market capitalization should maintain stable prices if utility continues to rise.
Looking at other altcoins, Chainlink (LINK) is recovering nicely after correcting a strong 50% earlier this week. At the time of writing, Chianlink (LINK) is trading 7% higher at a price of $17.35 and a market cap of $7.9 billion.
On the other hand, addresses of Cardano whales have loaded their cases during the recent price correction. Holiness reports: “Cardanos price, like many #altcoins, have plummeted in the past 10 days, falling -34%. Large addresses with a value between 10k and 1M $ADAown 113% more in their collective bags since the Jan 17 decline, amassing $53.6 million in tokens.”
The content presented may contain the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or publication is not responsible for your personal financial loss.
About the author
Bhushan is a fintech enthusiast and has a good flair in understanding financial markets. His interest in economics and finance draws his attention to the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In his spare time, he reads thriller-fiction novels and sometimes explores his culinary skills.
This post Bitcoin is holding above $38K and Ether above $2.5K, which is what may further boost prices.
was published first on https://coingape.com/bitcoin-holds-above-38k-and-ether-above-2-5k-heres-what-can-fuel-prices-further/