Market update

Cointree Crypto Market Update - December 23rd 2020

Market update for traders

Bitcoin to the Moon! The popular saying in the world of crypto perfectly summarised the performance of World’s largest digital currency as we officially established record prices for the first time since the end of 2017 bull run. At the start of the week, price was sitting steadily at around $25,700 AUD before a breakout to the upside occurred (highlighted in green); slicing through the all-important $27,000 resistance. Once this level was conquered, there was nothing holding the Digital Gold back as it soared to a new high of $32,000 AUD.

At the time of writing, the price of Bitcoin has retraced slightly after a strong rejection at the $32,000 resistance - lingering just above $30,000 AUD. In light of this pullback, this past week’s performance has produced a substantial +18% gain. Looking forward and especially as we enter the festive season, market participants watch closely to see if Bitcoin can maintain these current prices. The $29,400 region has proven to be a level of significance and continues to act as the first level of support. As we have successfully closed above the previous all-time high price, we now enter uncharted territory. In the past when the Bitcoin price has accomplished such a feat, the buying demand in conjunction with retail FOMO (fear-of-missing-out) has accelerated in an exponential fashion resulting in sky-rocketing prices. Will things be the same this time around?

With money flowing into primarily Bitcoin the last seven days, the results for the altcoin market were mixed. Ethereum (ETH) inched higher with a +3% performance whilst XRP was down -3% on the back of controversial news. Litecoin (LTC) however, held the crown for the major caps with an extraordinary weekly gain of +26%. For the lower cap altcoins: Dogecoin (DOGE) showed signs of life - up +40%, Elrond Gold (EGLD) had a third consecutive week posting a +31% result and Zilliqa (ZIL) added to it’s record year with another +44% move.

Read our full market update here.

Market update for beginners

Bitcoin to the Moon! The popular saying in the world of crypto perfectly summarised the performance of the world’s largest digital currency as we officially established record prices for the first time since the end of 2017 bull run. At the start of the week, the price was sitting steadily at around $25,700 AUD before a breakout to the upside occurred (highlighted in green); slicing through the all-important $27,000 resistance. Once this level was conquered, there was nothing holding Bitcoin back as it soared to a new high of $32,000 AUD.

At the time of writing, the price of Bitcoin has retraced slightly after a strong rejection at the $32,000 resistance - lingering just above $30,000 AUD. In light of this pullback, this past week’s performance has produced a substantial +18% gain. Looking forward and especially as we enter the festive season, market participants watch closely to see if Bitcoin can maintain these current prices. The $29,400 level has proven to be of significance and continues to act as the first level of support. As we have successfully closed above the previous all time high price, we now enter new territory. In the past when the Bitcoin price has accomplished such a feat, the buying demand in conjunction with retail FOMO (fear-of-missing-out) has accelerated in an exponential fashion resulting in sky-rocketing prices. Will things be the same this time around?