Bitcoin, Ethereum, Litecoin, and EOS have all experienced a sudden rally in the last seven days.
Bitcoin is up 9.84%, Ethereum is up 21.24%, Litecoin is up 23.13%, while EOS is up 35.72%--see Table 1.
&l;strong&g;Table 1&l;/strong&g;
&l;strong&g;7d Price Change For Major Cryptocurrencies&l;/strong&g;
&l;/p&g;&l;div class=&q;table-wrapper&q;&g;&l;table&g;&l;tbody&g;&l;tr&g;&l;td width=&q;329&q;&g;Cryptocurrency&l;/td&g; &l;td width=&q;294&q;&g;%7d&l;/td&g; &l;/tr&g;&l;tr&g;&l;td width=&q;329&q;&g;Bitcoin&l;/td&g; &l;td width=&q;294&q;&g;9.84&l;/td&g; &l;/tr&g;&l;tr&g;&l;td width=&q;329&q;&g;Ethereum&l;/td&g; &l;td width=&q;294&q;&g;21.24&l;/td&g; &l;/tr&g;&l;tr&g;&l;td width=&q;329&q;&g;Litecoin&l;/td&g; &l;td width=&q;294&q;&g;23.13&l;/td&g; &l;/tr&g;&l;tr&g;&l;td width=&q;329&q;&g;EOS&l;/td&g; &l;td width=&q;294&q;&g;35.72&l;/td&g; &l;/tr&g;&l;/tbody&g;&l;/table&g;&l;/div&g;&l;em&g;Source: Coinmarketcap.com 2/20/19 at 7:10 p.m.&l;/em&g;
That&a;rsquo;s certainly music in the ears of cryptocurrency investors on the long side of the market.
And there are a couple of signs that the rally may be sustainable. One of them is that there is &a;ldquo;breadth.&a;rdquo; The rally extended to the entire cryptocurrency chain. Only seven cryptocurrencies out of the top 100 dropped in the last seven days, while 93 advanced&a;mdash;see table 2.
&l;strong&g;Table 2&l;/strong&g;
&l;strong&g;Number of Cryptocurrencies That Advanced/Declined In The Top 100 Ranks&l;/strong&g;
&l;div class=&q;table-wrapper&q;&g;&l;table&g;&l;tbody&g;&l;tr&g;&l;td width=&q;324&q;&g;Cryptocurrencies Advance/Decline&l;/td&g; &l;td width=&q;300&q;&g;Number&l;/td&g; &l;/tr&g;&l;tr&g;&l;td width=&q;324&q;&g;Advance&l;/td&g; &l;td width=&q;300&q;&g;93&l;/td&g; &l;/tr&g;&l;tr&g;&l;td width=&q;324&q;&g;Decline&l;/td&g; &l;td width=&q;300&q;&g;7&l;/td&g; &l;/tr&g;&l;/tbody&g;&l;/table&g;&l;/div&g;&l;em&g;Source: Coinmarketcap.com 2/20/19 at 7:10 p.m.&l;/em&g;
That&a;rsquo;s something market technicians see as a confirmation that the rally has strength. It suggests that new money is flowing into the entire sector rather than old money rotating from one coin to another.
&a;ldquo;Interestingly, it appears that the momentum behind the recent Bitcoin rise comes more from fiat and stable coins than from other cryptocurrencies,&a;rdquo; says Michael Noel, CEO Blockchain Consultants. &a;ldquo;This move from Fiat currencies shows at least some consensus that BTC value, is better long term than in traditional currencies.&a;rdquo;
Adding to the technical momentum of the cryptocurrency rally is enterprise interest in Blockchain projects, according to Noel. Like a partnership between Mastercard and the fintech startup Stellar, a Western Union and Ripple project, and the introduction of a NASDAQ Bitcoin index.
And there&s;s growing acceptance of Bitcoin among institutional investors, according to Jeff Ramson, Founder and CEO of PCG Advisory, Inc. &a;ldquo;Each day we are hearing of more well-known fiduciaries, banks, funds, etc. investing into crypto/blockchain infrastructure, and I believe Bitcoin is the proxy for most who want to have exposure to the crypto asset class, while these markets develop,&a;rdquo; says Ramson.
An example of this is the news last week that JP Morgan is implementing its own cryptocurrency. &a;ldquo;While not significant to the price of Bitcoin, in reality, this also has given additional credibility to the space, which is helping with the price of Bitcoin; and I believe, this acceptance will help sustain the crypto asset class for the long run,&a;rdquo; adds Ramson.
Provided that Bitcoin breaks two key &a;ldquo;resistance&a;rdquo; levels, $4000, and $4800, according to Henry James Fincross, International&a;nbsp;Deputy CEO &a;amp; CSO.
&l;em&g;&l;/em&g;
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