- The total cryptocurrency market capitalization grew by greater than 50% in the final six months
- Investors are optimistic as Bitcoin’s value holds close to the yearly excessive
- Ethereum, Litecoin, and Ripple have adopted Bitcoin larger
The first half of the buying and selling yr is behind us, and one in all the most notable developments is the enhance in the total crypto market capitalization. Following 2022, when many crypto buyers obtained fed up with trade scandals and left, the 2023 rally appears to be like like the begin of a brand new bullish market.
The efficiency is much more spectacular, provided that the US greenback is buying and selling with a blended tone in opposition to its fiat rivals.
Investors’ renewed curiosity in cryptocurrencies led to the total market capitalization rising by greater than 50% in the yr’s first half. Only in the final week, the market grew by greater than 3%, and buyers are optimistic as a result of Bitcoin, the main cryptocurrency, holds close to the yearly excessive.
Ethereum, Litecoin, and Ripple have adopted Bitcoin larger
Bitcoin is the major cause why buyers are optimistic about the cryptocurrency trade regardless of the ongoing scandals, frauds, and lawsuits. In the finish, all that issues for market watchers is that Bitcoin’s value holds near the yearly excessive, regardless of rallying in 2023 by over +85%.
Therefore, the path of least resistance in the yr’s second half appears to be the upside.
Not all currencies carried out like Bitcoin, although. For occasion, Dogecoin is flat on the yr, up by about +0.3% in the first six months of 2023. This is a big divergence from what Bitcoin and different cryptocurrencies did (e.g., Ethereum, Litecoin, Ripple), and it displays the crypto buyers’ focus in a couple of cryptocurrencies.
Moving ahead in the yr’s second half, crypto buyers would possibly need to watch the developments in the conventional forex market. More exactly, what is going to the Fed do with the funds charge?
If the US greenback loses floor in opposition to its rival fiat currencies in the subsequent six months, Bitcoin and the different main cryptocurrencies are effectively positioned to rally some extra. As the Fed paused the charge hikes in June, one ought to embrace the chance of the present funds charge being the terminal one for this tightening cycle.
