Bitcoin shoots to $ 40,000

Bitcoin can regain the important $ 40,000 mark despite Amazon’s cancellation. At the same time, Bitcoin dominance is also increasing – is the mood on the market turning?

After the rejection of the integration of cryptocurrencies by the retail giant Amazon, Bitcoin and Co. are back. Overnight the bulls conquered important positions and continued their race to catch up. Among the top 10 coins, it is above all the crypto currency that stands out particularly positively. Bitcoin has increased by almost 8 percent, breaking the 40,000 mark. At press time, BTC ranks at $ 40,114.


Bitcoin price trend in the candlestick chart, source: BTC-ECHO

The Bitcoin price breakout is meanwhile also pulling the altcoin sector northwards. For example, Ethereum is growing by almost 4 percent, trading at $ 2,267 at the time of going to press. Investor euphoria is likely to be further increased by the “London” hard fork announced for August 4th.

Furthermore, Binance Coin (BNB) and Polkadot (DOT) in particular benefit with a price increase of 2.5 percent each. Followed by Cardano (ADA). Dogecoin (DOGE) is the least likely to capitalize on the rise in Bitcoin. Memecoin has the worst performance among the top 10 coins with an increase of 0.7 percent.

However, the winner of the day goes by the name of Ripple. The in-house XRP token shoots up by 15 percent to now $ 0.70. The basis for this is provided by announcement a new payment corridor between Japan and the Philippines.

“BTC will rise to 60,000 rather than fall again”

Bloomberg crypto analyst Mike McGlone believes that Bitcoin’s journey could soon reach an old checkpoint again as more likely than another dip in the direction of $ 20,000. McGlone wrote that in an internal report, the excerpt of which was ETF analyst Eric Balchunas on Twitter shared. If you consider the historical course of the cryptocurrency, a pattern emerges which indicates an upswing towards 60,000 US dollars for the crypto analyst.

In addition, McGlone sees the Chinese government’s crackdown on trade and mining as an indicator that the country’s economic boom is over. Both the US dollar and Bitcoin would benefit from this.

Bitcoin dominance is rising again

Meanwhile, not only is the Bitcoin price experiencing an upswing, the crypto-leading currency is also slowly making headway in terms of dominance. The Bitcoin Dominance has always reflected the share of the digital store of value in the total market capitalization of the crypto space. This value is particularly interesting for those traders who trade BTC for Altcoins.

At the beginning of January, the dominance was still over 70 percent, fell below the 50 percent mark at the end of April due to a strong Altcoin performance and then started at just under 40 percent. Now, however, Bitcoin is on the way back. At the time of going to press, the crypto currency is scratching back to 50 percent.

Market sentiment is improving

Although Amazon is not thinking of integrating cryptocurrencies, at least officially, the rumor has nevertheless done its part to lift the general mood in the market. In the summer slump, the sentiment was previously rather pessimistic. That was also shown by a look at the Bitcoin Fear and Greed Index, who has been on “extreme fear” for weeks since the Flash Crash in mid-May.

The Fear and Greed Index shows the mood in the crypto market, source: alternativ.me

When the rumor mill boiled over on Monday, the needle on the mood compass turned north. As of today it is completely at 12 o’clock and therefore on “neutral”. The market is thus saying goodbye to the “fear zone” and apparently drawing new hope for the coming weeks. How sustainable the change in sentiment actually is remains to be seen, however.