In the past 24 hours, the Ethereum price has increased from $124 to $141 by 13 percent against the U.S. dollar. Analysts foresee a strong short-term recovery ahead as the crypto market shows momentum.
The optimistic price movements of major crypto assets in the likes of Ethereum, EOS, Bitcoin Cash, and Binance Coin have come during a period in which the sentiment in the near-term performance of the crypto market has become noticeably gloomy.
FULL-FLEDGED CRYPTO RECOVERY A POSSIBILITY?
On February 17, prior to the recent rally of the crypto market, a cryptocurrency trader with an online alias “Mayne” stated that investors cannot remain bear-biased solely based on the past performance of the market.
“We’ve had some bullish moves on ETH, BTC, and altcoins over the last 2 weeks. Is the bear market over? Maybe, the fact of the matter is we are going up. Traders must see PA for what it is and can change bias quickly. If you have been stuck with a bearish lense you are missing out,” the trader said.
Throughout the past several months, Bitcoin and the rest of the cryptocurrency market have shown similar patterns; Bitcoin would endure weeks of stability and plunge by 5 to 10 percent thereafter.
But, while the historical performance of crypto assets is a useful reference, it is not a guarantee of future performance.
Since early February, for well over two weeks, cryptocurrencies have recorded an extended period of stability.
Because the cryptocurrency market had experienced extended periods of low volatility in the past several months and each one led to a dip in the valuation of the crypto market, many traders expected the trend to continue.
However, on February 18, fueled by the sudden surge in the price of Ethereum, the crypto market initiated a recovery and alleviated significant pressure from the market.