Several major digital currencies and tokens such as EOS have proved that they can stay strong in the short term momentum over the past day, pushing the valuation of the crypto market to $206 billion. The volume of Bitcoin, which rejected to the mid-$3 billion regions, recovered to $4.2 billion, showing an increase in trading activity across several big crypto exchanges. Following the increase in the volume of Bitcoin, tokens and virtual assets like Pundi X, OmiseGo, Zcash, Loom, Status and Bancor have recorded gains from 8 percent to 20 percent. This portrays the big upside movement for the first time since mid-September. But what does this mean?Previous reports by CCN show that the low volume of Bitcoin has left the digital currency market in a tough spot and exposed to short-term drops, possibly below the $200 billion area. At one point, the number of Bitcoin dropped to around $3 billion, down by just over 25% from $4.2 billion.Technical analysts including Hsaka made clear that with the failure of the leading crypto to recover in volume could trigger the dominant digital currency to keep a close range until the end of the year, which could prevent the initiation of 2019 with the positive sentiment regarding digital currencies as a growing asset class. Haska explained:
“To be honest, with volume and volatility petering out, I wouldn’t be surprised to see BTC hold this range for another month (and maybe till the EOY too). Would be the path of maximum pain, bears don’t get their rapid selloff to 4.8k, bulls distraught over not being able to break 6.8k.”
There are expected to be several exciting announcements waiting for Bitcoin during the first few months of next year. Most importantly, this includes SolidX/VanEck Bitcoin exchange-traded fund application which is set to be evaluated by the US Securities and Exchange Commission by the end of February next year. As said by CCN:
“If Bitcoin can initiate a major positive price movement prior to the year’s end impacted by the launch of BTC futures markets by Bakkt and Goldman Sachs, a positive sentiment could be carried out into the first quarter of 2019."
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