Cryptomarkets facing a post-Christmas decline

Cryptomarkets facing a post-Christmas decline
Dec 28, 2018 by Rico Wise

Almost all of the major digital assets have recorded losses, from BTC to ZEC. This was not unexpected, but the demand for stablecoins has increased, actually even registering a modest premium.

Even with the current price of BTC, 1% of the value is stil accounting for over 30 dollars, therefore even a 2-percent shift is hard to go unnoticed. As of press time, BTC was trading at the price beneath 3,600 USD level. A few days ago, it was believed that the world’s most popular digital currency may pull off a comeback by surpassing the 4,000 USD mark, but it went downhill instead.

According to some speculations circulating within the cryptocommunity, the decline is incentivized by tomorrow’s expiry of over 25,000 BTC futures on Deribit.

The remainder of the digital currencies trade versus Bitcoin in almost every marketplace there is, therefore a BTC price drop usually causes the price drop of said digital currencies, at least before the correction. There is no exact correlation between these changes nevertheless, and good cryptotrading performance seen in the altcoin cryptomarkets can cause decreased losses.

XRP has dropped by amost a nickel within the past day. Still, there is a high level of confidence regarding the bank-friendly blockchain network. The chief executive of Ripple, Brad Garlinghouse, lately has been making statements claiming the unparalleled level of decentralization of Ripple’s network. Ripple can boast of a powerful supporting community, and with the ongoing progress XRP value has left its BTC peg far behind, as more markets include it as a base pair and trade it versus fiat currencies. In perspective, this might pay off with increased price stability for XRP.

ETH performance was almost completely mirroring that of BTC, with the exception that ETH recorded a decline from a daily peak of more than 130 USD. Lately it has managed to take over BCH’s price rank, although more recently BCH bulls have managed to surpass it once more. The total loss of ETH value accounts for nearly 10 percent in the course of the past day. However, it still retains a bigger market cap than BCH, presently accounting for about 2.6 billion dollars.

For BCH, the daily term began with the asset trading at over 180 USD, but by the end of the day traders could hardly manage to sell it over 150 USD.

The reasons of the resurgent demand experienced by BCH remain unknown, although something is quite evident: Bitcoin Cash still has not recovered from the fork event as Bitcoin SV protocol established a blockchain of its own.

XLM currency has been on the see-saw by the end of the daily period, recording a short bounce back to almost 11.5 cents prior to proceeding with its decline further.

The fork of Ripple to this day has not been able to surpass its predecessor and most of the times is trading at approximately one third of its price. Substantial advancements connected with its business relationships are what is needed for the price growth. Both currencies seem to suffer equally from enormous supplies in the billions, which means that tiny adjustments in their prices account for significant increase in the overall market cap.

As of press time, XRP accounts for twice the market capitalization of XLM, 40 billion USD and 19 billion USD respectively.