Cryptos are pretty nascent and still, a lot of “firsts” are yet to be and a lot of rare moments yet to be captured. One such moment was captured on Binance today when all the top 100 coins turned green showing some sharp rally and buying.
Changpeng Zhao(CZ) calls it a rare event as screen hit shows all green for
While the bulls have been buying for last three days, buying in last 24 hrs has been a seminal event in its own way. It’s not just one or two coins that are seeing the pump up but its spread across the street. All top 100 coins on Binance were in the shade of green much to the joy of traders and investors. Even CZ shared his joy by sharing the news on twitter when he said
“Right now, all the top 100 coins on Binance are green. A rare, and happy occasion! Go #crypto!”
— CZ (not giving crypto away) (@cz_binance) August 18, 2018
What makes this news even important in-terms of crypto sentiment is because Binance is one of the bellwether global exchanges for cryptocurrencies. It is the largest Cryptocurrency Exchanges by Trade Volume having a $1.5 bln in trade volume according to Coinmarketcap. It trades 380 types of coins and capable of processing 1.4 million transactions per second. With the magnitude of what Binance is such green screens only signifies that there is big money coming into the cryptos.
The oversold market just recovering
Although there have been some strong long-term positives building up in a lot of projects, this run-up is more on the back of technical groups. Nearly all top coins including BTC, ETH, and XRP had seen some sharp correction, forcing many currencies to hit their yearly lows. The downfall was triggered by the news of SEC’s Vaneck Solidx bitcoin ETF deferment. But the snowballing effect was so huge that it just took off all the sheen for top coins. Many experts and analysts started discussing further sharp cuts and sentimental nosedives. But with this sustained buying that has been going since past two days has kept hopes alive making BTC pretty much range bound between USD 6000 and USD 8000.
Some strong comments too floated on the street showing some positivity.
CoinCorner’s co-founder, Danny Scott says:
“For the last few months, the price of Bitcoin has been at $6,000 which we believe will continue for a while but we predict the price will reach $15,000 by the end of the year. We take this view because the retail market is continuing to expand at a very healthy rate based on both our own data and industry trends.
“To add to this, we are also seeing huge amounts of investment coming through from High Net Worth individuals and institutes purchasing Bitcoin in high volumes. This all adds to the increase and interest of the cryptocurrency.”
Apart from the frontliners, From July and August, the price of most tokens including Ontology, VeChain, and ICON have fallen by nearly 80 percent against Bitcoin, which also fell by more than 40 percent on its own. In the past three days, the trend has reversed completely for Ethereum-based tokens. Nano, Ontology, VeChain, Aion, Nebulas, Pundi X, and Waltonchain recorded 20 to 50 percent increase against Bitcoin in a short period of time.
Given that investors have started to put money into ERC20 tokens almost equal to the top 3 cryptocurrencies shows a sense of confidence being built up in investing community as investors have started to take more risks in pursuing high-risk trades, which is a trend that is only seen in a large reversal or prior to a solid mid-term rally.
Whatever may be the reason a green screen is always a happy sign for investors and looks like its going to stay.
Will this rally sustain or will it fizzle out? Do let us know your views on the same.
Nilesh Maurya has been associated for past 8 years as an Investment Banker with Omega Capital, a bespoke Investment Banking outfit having offices in Mumbai, New York, Singapore, and Dubai. He has been a regular contributor to business publications such as Business India and Market Express and has been a mentor to many start-up companies. Nilesh Maurya has been associated for past 8 years as an Investment Banker with Omega Capital, a bespoke Investment Banking outfit having offices in Mumbai, New York, Singapore, and Dubai. He has been a regular contributor to business publications such as Business India and Market Express and has been a mentor to many start-up companies. Follow him on Twitter at @KoinKing1 or connect with me on linkedin.