Cryptocurrency forecast for today
The Bitcoin (BTC) price retreated again from the strong $60000 resistance and dropped to the $58350 mark. Ethereum (ETH) is trying to gain a foothold above the key level of 2000 and is trading near the price value of 2050. Ripple(XRP) has reached the resistance of 60 cents. The total capitalization of the digital currency market was $1.9 trillion.
The volatility of the first cryptocurrency is often cited as one of the reasons why large investors avoid investing in Bitcoin. However, JPMorgan analysts believe that the indicator is normalizing. A group of investment bank researchers noted that the sharp fluctuations in the price of Bitcoin are beginning to subside. The real volatility of Bitcoin in six months is 72%, which is significantly lower than the previous highs exceeding 100%. In recent weeks, there has been a peak in Bitcoin volatility and signs of its decline from the levels of the end of February. The normalization of volatility may spur interest in the first cryptocurrency from institutional investors. Moreover, in the first quarter of 2021, they significantly reduced their investments in this asset. At the same time, the volatility of Bitcoin itself is not as important as in comparison with the same indicator of Gold. And if bitcoin's volatility moves closer to Gold, then Bitcoin could become a more key means of accumulating wealth.
In recent days, the cryptocurrency market shows a restrained growth, but this period was more successful for Ethereum, the rate of the second cryptocurrency reached $2150 for the first time in history. The capitalization of Ethereum is estimated at $243 billion, and the capitalization of the entire cryptocurrency market is close to the landmark mark of 2 trillion. The success of ethereum is facilitated by the approach of the Berlin hard fork, which will be held on April 14. The update will add various smart contract optimizations and improve the Ethereum Virtual Machine (EVM). In addition, it will include several suggestions for improving the cryptocurrency. In particular, in July, the Ethereum network will activate a proposal that changes the calculation of transaction fees. It should reduce the average amount of commissions, and many miners are extremely dissatisfied with this – their income will fall significantly. The initiative group of miners even offered to show their strength and combine the power on one of the pools, but the strike failed.
In the forecast, I expect the Bitcoin price to decline to the level 57000 US Dollars. Ethereum will decline to the level 1980 USD, and XRP- to the price value of 0.57 USD.