Crypto Frontline

Cryptocurrency Market Cap Rises Again

Cryptocurrency Market Cap Rises Again

Cryptocurrency Market Cap Rises Again
April 20
10:24 2018

Following an extremely negative performance seen in the first four months of 2018, the cryptocurrency market is beginning to show signs of recovery. The trend had reversed this year and we saw a completely different market performance. Bitcoin, the leading cryptocurrency, with the most liquidity and the highest market cap, had been able to stabilize and the loss was smaller than other cryptocurrencies.

Most of the alternative cryptocurrencies (also known as Altcoins) had been freefalling for the last months, losing more than 80% in value.

Global market cap surges in April 2018

According to the chart from coinmarketcap.com which you can see above, the month of April had been positive for cryptocurrencies. We’ve talked about this thing in another article as well, and mentioned that this is the best month of the year, from a statistical point of view.

The global market cap bottomed out at $248 billion on April 5th and since then, it surged to $365 billion, almost a 50% gains in about two weeks. This leg up looks stronger than the one we saw in the first part of February, which means there is a much higher potential for a further continuation higher.

Ripple and Ethereum leading the way

Two of the main rivals of Bitcoin, Ripple, and Ethereum had been the main performers of the past two weeks, banking gains close to 50% (in the case of Ripple). Following the strong drop in valuation we saw from the beginning of 2018, some cryptocurrencies had become cheap again and investors are now returning their attention to them

The regulatory pressures are beginning to have less impact on the negative sentiment and investors are beginning to become comfortable with the idea. If will be interesting to watch how far this surge in the price of cryptocurrencies is able to advance.

Newly launched cryptocurrencies, like Electroneum which we have talked about recently, might be favored by the current rising appetite for cryptocurrencies. We should see if that will be the case in the near future. Projects that have a healthy business model are poised to have only benefits in the long run, for sure.