Crypto market update last week of July

At the beginning of the last week of July, on the 27th, there was a great escalation in the BTC price and in less than 24 hours later it increased 14%, which represents an increase of $1,388 from $9,892 to $11,280 with an injection of capital of $26 billion. As you can see in the chart below it was a very strong movement that has been sustained throughout the week.
                                                    Source: CoinMarketCap

In fact, over the last week the price has continued to be close to the maximum level reached. This movement was long-awaited after the May halving, so it has come with some delay, although no one doubted that it was only a matter of time that the leading crypto makes such a move upwards.

At the beginning of the week, the BTC price started at around 9,849 dollars and has reached at the end of the week over 12,000 dollars, representing the highest price for this year, with values that have not been repeated since August last year.

After these sudden moves, many experts, including Max Keiser, have no doubt that new highs will soon be reached, surpassing the all-time high of $20,000 achieved in December 2017. Keiser goes even further and says that 20,000 dolars is not a resistance for bitcoin, setting it at approximately USD 28,000. The expert has no doubt that the price of the main crypto will sooner reach 6 figures.

At the time of writing this article and at the end of the week (beginning of August), a sharp correction in the BTC price has been carried out, falling from 12,000 to 10,500 in a matter of minutes, which has meant the sale of BTC of 1 billion of dollars in that short time. Over the course of the day (August 2) it has recovered to around $11,220, as it can be seen in the table below.

Source: Coin360

After many weeks with a stable BTC price with a 10,000 resistance, this last week it was finally broken down creating a new resistance above $12,000 that experts estimate is very weak and therefore easy to be broken again. Max Keiser now estimates a new plausible resistance at $20,000 which will be broken again much sooner than expected.

 

The second most important crypto, Etherium, reached a peak not achieved in the last 2 years, reaching more than 400 USD. Again the correlation between BTC/ETH is fulfilled, pushing one crypto to the other in their upward path. This week the cryptocurrency has revaluated 75% climbing from 220 USD to more than 400 as seen in the coin360 chart.

                                                       Source: Coin360

This great upward movement of the second most important cryptocurrency may be a consequence of the following possible factors:

  • The growth of DeFi platforms, with Compound as the star platform within the DeFi market.
  • Again the update of ETH to its 2.0 version with PoS
  • The recovery of interest in the altcoins after a great predominance of BTC comparing with the others currencies in the crypto market.

In relation to the most remarkable altcoins this fourth week of July and considering the Etheriums apart as altcoin, we have the following cryptocurrency ranking:

Leading this 5-altcoin ranking is Litecoin (LTC) with a 30% increase, after the announcement of a large US investment firm to use LTCs after approval from the US financial authority. It is followed by Ripple (XRP), with an increase of more than 24%, with the launch of a new global P2P payments platform in ripple, called Payburner. Thirdly EOS, with a 19% increase, because of the launching of new projects such as a blood donation application using its blockchain that offers incentives to donors.

                                                             
Source: CriptoNoticias

Bitcoin cash also stands out and is got an increase of 18.7% because alongside with LTC, it is the subject of large investments following the approval of investment in BCH by FINRA (American Financial Authority). And finally, the increase of Etherium Classic (ETC) can be seen after the announcement of the blockchain company called Bloq Connect to offer support services for ETC alongside with ETH so that developers can integrate and connect both blockchains to create synergies between them.

The reasons for this upward trend for both bitcoin and altcoins may be the following:

  • The Increase in purchase orders with transactions over $100,000, due to the entry of institutional funds, especially for the BTC and ETH market.
  • The Greater connectivity with traditional financial markets such as the New York Stock Market and the Chicago Mercantile Exchange.
  • The rise of Decentralized Finance, DeFi, as we have said in other articles, with new protocol in "Yield Farming"
  • Stablecoin are attracting traditional finance powerful companies and fintech such as VISA and Paypal because they see in them a way to optimize their processes and customer service.

In short, we are facing a moment in which the BTC can fluctuate in a new band of 12,000 to 13,000 dollars and the ETH can have a new very high resistance level that would be around 780 dollars, meanwhile the other altcoins are taking the lead with increasingly dynamic projects of great added value mainly for those which are etherium-based tokens that continue to be successful and have a great growth potential.

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