As opposed to expectations, bitcoin continues to gain momentum, attracting more and more attention. On February 17, the price of the first asset reached $52,000, after which it was fixed at this mark. Amid the protracted growth of bitcoin, the entire cryptocurrency market shows a big increase. More than others, ether succeeded in this. Ether updated its all-time high of capitalization on February 18, increasing in price by 7%.
The main altcoin overcame the psychological threshold of $1,925 and consolidated at $1,912. The total market capitalization of Ethereum has reached $217 billion. It is worth noting that the price of ether soared to its historical level in just a few hours. The increase in the price of ether has led to an increase in the cost of commissions for transactions within the network. This indicator has again reached the mark of $20, and on separate exchanges, the transaction will cost more than $100.
The cryptocurrency market is once again experiencing local growth associated with the constantly rising price of bitcoin. However, the market may soon sink due to the price correction of bitcoin. This is evidenced by the statistical indicators of the number of buyers and sellers on crypto platforms. Most likely, the price increase for the first crypto asset will continue until the end of February. Bitcoin may well swing to $55-57 thousand, which will lead to another growth of the market and individual altcoins. However, already at the beginning of spring there are many more prerequisites for the market being overwhelmed by a price correction. This is also evidenced by the sharp jumps in the price of bitcoin, which leads to large financial losses among market participants.
Nevertheless, the price correction is necessary for the cryptocurrency market to further increase the total capitalization. The chances of developing digital currencies without a price correction are estimated by market participants as minimal. The market will benefit from falling prices for major digital assets, however, the adjustment will have a negative impact on individual cryptocurrencies. In the spring, bitcoin will most likely roll back in price to the level of $51-52 thousand, while ether will probably fall in price to $1,750-1,800. Much more incomprehensible is the situation with the Ripple token, which, after the news of the trial, does not respond to the growth of bitcoin. Nonetheless, at the end of the second and beginning of the third quarter, new records from the cryptocurrency market should be expected.
The material has been provided by InstaForex Company - www.instaforex.com