Bitcoin trades firmly above $34,800 as positive sentiment in cryptos prevails

Crypto market overview: The recent rally from last week's crypto has boosted investor sentiment, as the crypto fear an agreed index has jumped 4 points from yesterday to be within the greed zone with a score of 74/100. 

While the price momentum may look short-term, market analysts are seeing signs of sustainable demand driving the crypto uptrend.

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Parth Chaturvedi, Investments Lead, CoinSwitch Ventures, said, “The top 10 cryptos by market capitalisation consist of a mix of red and green. BTC seems to be consolidating just around $35,000 after hovering between $34,000 and $35,000. And while BTC is down 0.5 per cent, ETH is up 1.3 per cent on the back of increased engagements by whales on the network. In the DeFi space, lending protocol Aave has paused certain operations as a temporary protection measure after coming across some issues; user funds remain safe.”

CoinDCX Research Team also shared their insights with Republic highlighting the potential for altcoins to shine. CoinDCX said, “During the weekend, BTC traded within a range of $34,000 to $35,000, while ETH delivered positive returns, surpassing the $1,875 resistance level and outperforming BTC. Furthermore, there was a decrease of over 1.5 per cent in BTC dominance, indicating potential opportunities for altcoins to shine. ETH dominance has also found support, potentially signalling a recovery.” 

“It's worth mentioning that the recently released macro data, including the US Non-Farm Employment Change (Monthly) and US Unemployment Rate (Monthly) announcements on Friday, has had a neutral to positive impact on the crypto space,” Team CoinDCX added. 

Growing Bitcoin holders

Rajagopal Menon, Vice President, WazirX, talked to the Republic about the crypto market movement. Menon said, “The market cap appears poised for a week of relative stability, with little indication of an imminent price correction. This outlook aligns with a growing number of HODLers who are bolstering their portfolios with BTC, hinting at a potential journey towards fresh highs, ending a prolonged period of price stagnation.”

“Market confidence remains buoyed by Bitcoin bulls, who managed to recover from a brief setback following the FTX verdict. Notably, Sunday saw Bitcoin's price resurgence, mirroring a similar rebound in Ethereum, instilling optimism in the market,” added Menon. 

Shivam Thakral, CEO of BuyUcoin while talking about the market movements said, “The crypto market had an exciting weekend as BTC breached the $35,000 mark once again. In an interesting move, ETH outperformed BTC by a few basis points in the last 7 days. Ethereum touched the $1900 mark as the impressive rally attracted fresh capital into the Ethereum smart contract ecosystem. The Ripple vs SEC lawsuit’s outcome seems to be leaning towards Ripple which resulted in a mini rally of close to 10 per cent in its native token XRP. The overall digital asset market is poised for healthy growth in the long term.”

Edul Patel, CEO, Mudrex, said, “Bitcoin has been trading around the $35,000 mark over the last 24 hours. This price movement may result from traders taking profits from their Bitcoin holdings and reinvesting them in altcoins. Another contributing factor could be the US reporting the addition of 150,000 jobs in October, which falls short of the economist-predicted 180,000 and is a decrease from the 297,000 jobs added in September.”

“The unemployment rate has also risen to 3.9 per cent, surpassing the expected 3.8 per cent. Meanwhile, Ethereum has maintained its position near the $1,900 level, while Ripple has seen a substantial price increase of more than 9.6 per cent,” Patel added.