Most major cryptocurrencies traded in the red on Wednesday night with the notable exception of Ethereum (CRYPTO: ETH) as the global cryptocurrency market capitalization fell 1.75% to $1.44 trillion.
What Happened: Bitcoin (CRYPTO: BTC) traded 3.26% lower at $34,845.28 over 24 hours with weekly gains registering at 4.32% at press time. Over the last 30 days, BTC has fallen 7.87%.
ETH managed to cling on to gains at press time as it traded 3.07% higher at $2,249.79. The second-largest cryptocurrency by market cap is up 15.83% over the last seven days. However, over the last 30 days, the coin has shed 17.62%.
See Also: How To Buy Ethereum (ETH)
Dogecoin (CRYPTO: DOGE) was down 4.46% at $0.25 but still traded 6.92% higher for the week.
The notable gainers on Wednesday night were Telcoin (CRYPTO: TEL), Compound (CRYPTO: COMP), and Stacks (CRYPTO: STX).
TEL traded 13.94% higher at $0.029 at press time over 24 hours and 25.91% higher on a seven-day trailing basis making it the top gainer at press time, as per CoinMarketCap data.
COMP and STX were up 8.85% and 3.52% at $338.24 and $0.77 respectively over 24 hours at press time. COMP’s weekly gains stood at 40.29%, while STX gained 21.26% in a similar period.
Why It Matters: Regulatory crackdowns have defined the recent downwards trend seen in cryptocurrency markets. This includes China’s action against Bitcoin miners and the whip cracking in the United Kingdom and elsewhere on Binance, one of the largest cryptocurrency exchanges by volume.
Steve Elrich, CEO of Voyager Digital, a cryptocurrency exchange, said, “Price swings reinforce the idea that volatility is a fundamental part of a nascent and expanding market,” CoinDesk reported. “Investors are still buying the dip,” said Elrich.
Elrich noted that the dip has allowed altcoins like ETH and Shiba Inu (CRYPTO: SHIB) to gain “popularity.” BTC remained his top weekly net buy.
CNBC TV host Jim Cramer said this week that he prefers ETH over BTC as more people use it to buy things.
Skew, an options data provider, said that the BTC options market has a 65% chance of price remaining above the $20,000 mark by the end of 2021 and a 20% chance that the cryptocurrency will taste $50,000 levels gain, reported CoinDesk.
DeMark Indicators, a technical analysis tool, reportedly points to a trend that buyers could remain active above the $30,000 support in the intermediate-term.