The crypto market has an excellent start to the week…this much we know. The total value of all digital assets in circulation catapulted from US$103 billion early on Monday to $123B, and the figure continues growing.
Practically all of the major altcoins have shown significant gains over the last 72-hours. While experts are in no hurry to claim that the market has hit bottom, the sentiments are improving towards the Christmas period.
But why the crypto comeback now and what are the forces behind it?
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News that the
short position of former IMF economist Mark Dow the has been closed led the traders to think he may be seeing a bottom on the price of
Bitcoin (BTC). This may have spurred a lot of long positions, as a rebound can start from here. In the same vein, Blockchain Capital partner
Spencer Bogart noted in an
interview with CNBC Money that now’s a perfect time to buy BTC. Analyst believe such increased coverage on bullish forecasts may help stoke further gains.
The current levels in the crypto market defy all the predictions made by experts like
Tom Lee of Fundstrat who predicted BTC to break the all-time high almost at US$20,000 and form new highs around US$25,000. Moreover,
Mike Novogratz, Goldman Sachs former executive saw Bitcoin at US$40,000 by the end of 2018. Instead BTC has been trending lower throughout the year and is likely to close the year below US$4,000 or even near the annual lows around US$3,100.
