The Crypto market rally may be over but not before it saw an increase of $30 Billion in capitalization after strong rallies this week. Analysts are unsure if the recent strength will continue as questions about the reasons for the boost continue to befuddle experts.
Experts Unsure of Cause of Rally
The recent rally pushed the crypto market to gain $30 billion in assets in a week. It also pushed the bitcoin passed stubborn resistance levels at the $4,000 and $5,000. The next resistance level for the Bitcoin is at $6,000.
With sign that the crypto market rally may be over, some analysts speculate that the unexpected rise may be attributed to a major order from an anonymous buyer that did not want to be left out in the rally. There are some saying that the rally began after an online April Fool’s joke was circulated saying that the US SEC was opening the bitcoin for exchange trading.
A report from Forbes, indicate that the rally was not brought about by anything fundamental. The bullish pressure was mostly caused by technical pressure. The rally may be temporary and is most likely short lived for now.
Altcoins XRP BNB and Others Retreating, Correcting
Altcoins like the Binance Coin, Stellar, Ripple’s XRP, and Monera have retreated after the week’s surge. This marks that a possible end to the rally as all of these coins have seen losses today. Even major coins like LiteCoin and Bitcoin Cash lost value today despite having some of the strongest gains the last few days. Keep in mind, today’s losses still has the value higher than when it started at before the rally began
Rally Not an Indicator of a Bull Market But No Cause of Concern
Experts are looking for a sustained growth for a longer period of time before they can call this a bullish market. They are now looking closely how low retracement will push the crypto down.