After an enormous surge in Bitcoin early today, altcoins follow suit.
Early today, Bitcoin experienced an enormous surge in volume and value, a price jump of more than $1000 and the highest trading volume in a single hour period in the history of Bitcoin.
Bitcoin fanned the flames of the crypto market, igniting growth in many altcoins, but particularly Steem and Steem Dollars, both of which experienced periods of more than 50% growth in a span of 24 hours. The increase in activity has been somewhat sustained although not as dramatic as earlier spikes in the day's trading.
It will be interesting to see where this movement leads us over the approaching weekend. Following active Friday evenings, most weekends have lately been subdued and often involve selling off of profits from fleeting bursts in value. It is difficult to guess whether this weekend will be any different.
Many speculate that with most taxpayers having finished filing and paying off taxes, spending in crypto might see a resumption in activity that has been stymied since the crash in early January. It is too simplistic to point to any single event such as tax day and conclude that any one event may lead to a sudden recovery in bitcoin and cryptocurrencies. However, these sudden movements may spark activity and a sort of peer pressure that causes excitement in the community and an eagerness to jump back in after waiting out the spring thaw.
It is likely that in the short term, altcoin currencies will see a great deal of volatility on rapid run-ups and sell-offs as the market attempts to find a new ground level. One can take advantage either by buying on dips and holding or by taking the more risky approach of selling on peaks and buying on valleys.
Hopefully, this is just the beginning of a new positive trend in the crypto market. We will just have to wait and see.
*This is not professional trading advice - it's just my opinion!
If you're interested in trading cryptocurrencies, check out Binance by using the link in my profile @xsid and sign up today!
image source:https://steemit.com/steemit/@roinv/quieres-subir-en-steemit
@gaman is on the @abusereports blacklist for being a bad Steemian! Bad spammer, bad!