Bitcoin (BTC) recovered the level of US$ 50 thousand throughout Monday (6) and accumulates an increase of more than 8%. This Tuesday (7), at the time of publication of this text, the BTC unit is valued at US$ 51,400, according to the Coinmarketcap.
If on Monday (6) all the main cryptocurrencies were in sharp decline – some in the double digits – the movement is now of a steep rise.
The Ethereum (ETH) accumulates high just over 10% in the last 24 hours, being sold for US$ 4,388.61.
And the high rally goes through the list of 20 cryptocurrencies with the highest market values.
Cardano (ADA) up more than 13%, Solana (SOL) up 12%, XRP (XRP) just over 9%, Polkadot (DOT) up more than 13%, Dogecoin (DOGE) almost reaching 11%, Shiba Inu (SHIB) fluctuating between 12% and 13%.
Just as some falls were highlighted by their depth on Monday, some draw attention to the vigor of the rise this Tuesday.
Crypto.com Coin (CRO) rose more than 25%. Avalanche (AVAX) hits around 20% gain and Earth (Luna) has a high of 17%.
To find a token that has a devaluation in the last 24 hours you need to go far in the list. It is the Waves (WAVES) which has a loss of 5.5% in value in the last 24 hours.
Waves is the same blockchain network token, which defines itself on your website as a “community based on decentralized open-source technologies to build scalable and user-friendly apps”.
Possible reasons for discharge
The cryptocurrency analyst and experienced trader, Marcel Pechman, understands that the rise has two main reasons. He analyzed the BTC valuation on your YouTube channel.
One is the crypto market following rising expectations in traditional markets: fears of the Ômicron variant of Covid-19 have eased and the US market’s S&P 500 index is trading higher.
In addition, the analyst says that the group of investors that bet on the fall of bitcoin (“short” in the English term) has already zeroed their positions and started to believe that the currency will not fall further at the moment.
“The people who were betting against Bitcoin have already done well, they have probably already zeroed their position, so much so that we had the number of open contracts falling a lot. There’s a fear that hasn’t disappeared, but the derivatives indicators and the market sentiment itself have changed”, says Pechman.