All of the top 10 digital tokens were trading in the green, with at least three soaring as much as 15 per cent.
Crypto markets are seeing signs of recovery since the market plummeted late last week and continued to show bearish signals earlier this week. However, a recovery has started to emerge, especially in leading assets including BTC, ETH, BNB, and XRP.
According to Reuters, Federal Reserve Vice Chair of Supervision Randal Quarles said that US financial regulatory agencies are working together on addressing issues related to cryptocurrency. A joint framework for supervision is a “high priority”, he said, and added that he expects to have some results “soon”.
“We along with the OCC and the FDIC are engaged in what we are calling a sprint in seeking to pull together views on exactly that” including discussions of a common regulatory framework, capital treatment and operational treatment,” Quarles said in response to a question from a member of the Senate banking committee about cryptocurrency and its illicit use.
Bitcoin is down about 35 per cent so far this month and rival cryptocurrency ether is about 42 per cent below its record, reached on May 12 in a sell-off that has come amid increasing scrutiny from regulators in the United States and China.
“The general upswing in the crypto market continues today with all major cryptos gaining. Bitcoin touched $40,000 briefly. This correction showcases how resilient the crypto markets are to individuals and even countries. Over the next few days, we will see disproportionately higher money flow into altcoins like BNB, ETH and ADA,” said Edul Patel, Chief Executive and Co-founder, Mudrex
Historically, altcoins have followed gains in leading cryptos by market value. Analysts advise investors to remain cautious, despite the believe that the market is likely to ride an upward trend over the next few days and potentially weeks.
As of 9:50 am on May 25, these are the prices of the 10 largest cryptocurrencies by market capitalisation (data from coinmarketcap.com):
- Bitcoin: $39,238.65, 3.24 per cent up
- Ethereum: $2,807.75, 10.37 per cent up
- Tether: $1.00, unchanged
- Binance Coin: $360.34, 8.38 per cent up
- Cardano: $1.69, $1.69 per cent up
- XRP: $1.00, 4.45 per cent up
- Dogecoin: $0.3511, 2.98 per cent up
- USD Coin: $1.00, 0.1 per cent down
- Polkadot: $23.29, 11.01 per cent up
- Internet Computer: $148.34, 6.04 per cent up
ZebPay Trade Desk’s Tech View
BTC has been on a downtrend for the past two weeks, however, after making a low of $30,000, it has recovered almost 32 per cent and is consolidating around $39,000. For BTC to go further up, it needs to break and sustain above resistance at $42,000.
ETH, after making a low of $1,755, has started making a higher top higher bottom pattern and is currently trading above $2,800, surging almost 59 per cent. However, ETH may face some stiff resistance at $2,981. Hence, for the asset to go further up, it needs to trade and close above $3,000.
BNB witnessed a sharp fall with the price plunging almost 70 per cent from its peak of $691 and made a low of $211. The asset currently trades at $352.66, and it might consolidate around $300 to $380 before witnessing another rally, Similarly, XRP has also seen a major correction followed by a rally, and currently trades around $1, which is expected to continue its uptrend once it breaks resistance at $1.10.