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BTC and ETH Drops as Cryptocurrency Market Hits $300 Billion

The low volume on major exchanges BTC and ETH signifies that it may take a few more weeks for the markets to recover. It is normal for any asset market to experience a slump after a major correction and that would last for some time.  

The cryptocurrency market has been moving up and down from $280 billion to $350 billion in the last 10 days. And is struggling to demonstrate short-term recovery. And while experts stated that the $11,000 region would be ideal to initiate strong short to mid-term rally for Bitcoin. The market has not sustained its momentum throughout March.

According to some analysts, the market is failing to show recovery from a 72 percent correction. The third largest to date for Bitcoin. The slump may take many months before a rally begins as happens to any asset or market after a major correction. In other words, given the low volumes in crypto markets are highly unlikely. Therefore, that the market will recover in the short-term.

Volatility is likely to continue in the coming days as a result of the low trading volume. Until a large buy volume will make it spike up.

As usual, prices for many cryptocurrencies including Bitcoin, Ethereum, Ripple, Bitcoin Cash, EOS, and Cardano were shaky up and down in the past week. Unpopular cryptocurrencies like Ontology and 0x surpassed major cryptocurrencies in certain days. Although that might have been the result of a short-term pump.

Bitcoin dropped to $7,000 levels after hiking temporarily on March 28 and was back at $8,085 at the time of writing this. It is unlikely that it will move to $9,000 region unless a large spike in volume happens across all major exchanges.

Social media and search engine ban crypto-related ads

Recently, Twitter said it would ban crypto-related ads and that shortly affected prices. As cryptocurrencies are really responsive to major announcements.

Previously, Facebook and Google did announce intentions to ban crypto-related ads. However, it is impossible to entirely associate the lack of volume and momentum. However over the past few months in crypto markets to any of that news.

Is crypto market set for an immediate recovery or will the volatility continue? Find us on Twitter and Telegram for more updates. 

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David

David Kariuki is a journalist who has a wide range of experience reporting about modern technology solutions including cryptocurrencies. A graduate of Kenya's Moi University, he also writes for Hypergrid Business, Cryptomorrow, and Cleanleap, and has previously worked for Resources Quarterly and Construction Review magazines.

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