Cryptocurrencies witnessed a large in-flow of capital within the last seven days, bringing its total market capitalization back above the 1 trillion standard weightings. According to the data from CoinGecko, the total market capitalization for the crypto market is $1.02 trillion. Bitcoin and altcoins have therefore managed to stay positive within the last seven days.
Analysts believe the crypto market seems to recover after a prolonged fall. The high US inflation recorded last week pushed investors into risky assets once more as a means of hedging against the rising inflation.
Bitcoin seems to be leading the way and pointing other coins on the path of recovery. The price attained a new high yesterday at $22,945, marking an over 20% growth so far from a low created in 2022 at $17,600.
Altcoins are not left out of the picture also. Ethereum, for its part, has made an over 60% increase after creating a new low in 2022 at $898. Ethereum has currently created a new high yesterday at $1,630. The most famous native token, the Binance Coin, has shown strong resilience within the last seven days. The price attained a new high yesterday at $264, marking an over 80% increase from the low created in 2022 at $190. Also, the Cardano coin has recorded more gains too. Cardano created a new high yesterday at $0.501, marking an over 36% increase from the low made this year at $0.41.
Amidst these recoveries made so far in the crypto market, the buying volume of Bitcoin and altcoins continued increasing daily, suggesting a revival of interest in the risky assets.
The market is consolidating, with prices replacing the new highs created yesterday. Analysts consider the current trend a bear market relief pump, suggesting that another significant dip might be near. The Fed is set to have its next meeting a few days from today. In which case, they will be expected to hike the interest rate, which will probably affect the crypto market once more.
Best cryptocurrency CFDs to trade as the market recovers
Traders are currently beset with the question of which coin to trade during this period to make the highest profits. Of course, coins with high market capitalization and intense volatility constitute the first viable option for trading. We have therefore listed these coins below:
- Bitcoin (BTCUSD)
- Ethereum (ETHUSD)
- Binance Coin (BNBUSD)
- Cardano (ADAUSD)
- Polkadot (DOTUSD)
- Bitcoin Cash (BCHUSD)
- Dogecoin (DOGUSD)
- Litecoin (LTCUSD)
- Chainlink (LNKUSD)
- Uniswap (UNIUSD)
- Stellar (XLMUSD)
Is the current crypto market recovery sustainable?
Many investors have been asking if the bear market is over and if it is now an excellent time to buy long. Responding to this position, many experts believe that the bear market is not yet over, so investors must exercise caution to avoid excessively taking their longing positions. A primary reason given by analysts to support this fact is the expected interest rate hike by the Fed during their next session in the coming week. Interest rate hike no doubt has been one of the major causes of the bear market, and further interest rate hiking next week will send the crypto market into dust again. Once stability has been attained, this could lower inflation and stop the Fed's unabated interest rate hike for three consecutive months.