The last seven days have been eventful. The cost of the “first cryptocurrency”, and with it the entire cryptocurrency market, reached new historic highs, after which it rolled back significantly. 

Like all previous rallies in digital gold, the current one has attracted the attention of a huge number of new retail investors, for whom such a correction has become a bolt from the blue of unrestrained growth and which they have already dubbed “Red Monday”. However, if you take a broader look at the situation, then a month ago the value of Bitcoin (BTC) hovered around $ 30,000, a mark to which it no longer even thinks to fall. Many analysts attribute the correction that has taken place to the traditional industry “haircut” of investors trading with leverage. This theory is also supported by the fact that, according to The Block, the fall in the value of BTC led to the liquidation of long positions by $ 5.77 billion, the largest amount in the history of the cryptocurrency market. For comparison, the second-largest wave of liquidations occurred in March 2020.

Despite the success of cryptocurrencies and clear signs of their acceptance by society and business, the US Federal Reserve continues to believe that Bitcoin is a competitor to gold, but not the dollar. This position was made by James Bullard, head of the Federal Reserve Bank of St. Louis, on the air of CNBC. “In our policy, we take as a basis the fact that the economy of the United States and the world as a whole will continue to operate on the basis of the dollar,” he said. In addition, a senior Fed chief noted that for him, bitcoin is just another digital currency with extremely high volatility.

The volatility of digital gold will prevent it from gaining a foothold above the $ 50,000 mark. This opinion was expressed by JPMorgan analysts in a note to investors. The chief strategist of the analytical department of the bank, Nikolaos Panigirtzoglu, noted that the capitalization of bitcoin has grown by more than $ 700 billion since September 2020, and this growth was significantly supported by an increase in the share of retail investors and traders. “All price movements that we can observe since September 2020 are largely caused by speculative sentiment. To consolidate at the achieved levels, bitcoin will need an increase in the share of real money and a decrease in the number of retail traders, ”the analyst said. Against the background of the rally about the “first cryptocurrency”, one of the richest people in the world, Microsoft founder Bill Gates, spoke out. He stated that he is neutral towards this cryptocurrency, he does not own or bet against bitcoin. He noted the importance of blockchain technology for emerging markets, as it has the potential to greatly reduce transaction costs and ensure that people without bank accounts can join the world’s financial flows.

During the reporting seven-day period, the total cryptocurrency market capitalization decreased slightly. As of Wednesday evening, February 24, 2021, it amounted to $ 1,484.3 billion, which is 3.21% less than at the end of the last reporting period.

1. Bitcoin (BTC). The past week has become very hot for Bitcoin. “The first cryptocurrency” renewed all-time highs, breaking through the $ 58,000 mark. The market capitalization of the “cue ball” alone exceeded $ 1 trillion. However, such a meteoric rise was followed by an icy shower of correction, which sent Bitcoin prices to the $ 46,000 mark. But even despite this, bitcoin has shown impressive growth rates, because three months ago its value barely reached $ 20,000, up to a mark that, by the way, was for a long time an unattainable historical maximum, briefly taken during the 2017 rally. However, as Bitcoin’s popularity grows, powerful enemies also appear. Well-known investor Michael Burry, who foresaw the collapse of the US mortgage market in 2008, said that governments will accelerate inflation and start suppressing gold and Bitcoin (BTC) as potential competitors. Michael Burry believes that stimulus programs to overcome the consequences of the pandemic will serve as the impetus for everything. The investment legend does not believe in Bitcoin, as he believes that its scale will clearly not be enough to meet the needs of the world economy. “I don’t think the future of the decentralized currency is bright and bright in the long term. States that will do their best to cling to monopolies on the emission of money will act harshly, brutally, and unscrupulously. However, in the short term, any scenario is possible. It is because of this that I do not play short with Bitcoin, ”he explained. that the impetus for everything will be the programs to stimulate the economy to overcome the consequences of the pandemic. The investment legend does not believe in Bitcoin, as he believes that its scale will clearly not be enough to meet the needs of the world economy. “I don’t think the future of the decentralized currency is bright and bright in the long term. States that will do their best to cling to monopolies on the emission of money will act harshly, brutally, and unscrupulously. However, in the short term, any scenario is possible. It is because of this that I do not play short with Bitcoin, ”he explained. that the impetus for everything will be the programs to stimulate the economy to overcome the consequences of the pandemic. The investment legend does not believe in Bitcoin, as he believes that its scale will clearly not be enough to meet the needs of the world economy. “I don’t think the future of the decentralized currency is bright and bright in the long term. States that will do their best to cling to monopolies on the emission of money will act harshly, brutally and unscrupulously. However, in the short term, any scenario is possible. It is because of this that I do not play short with Bitcoin, ”he explained. that in the long term, the future of the decentralized currency is cloudless and bright. States that will do their best to cling to monopolies on the emission of money will act harshly, brutally and unscrupulously. However, in the short term, any scenario is possible. It is because of this that I do not play short with Bitcoin, ”he explained. that in the long term, the future of the decentralized currency is cloudless and rosy. States that will do their best to cling to monopolies on the emission of money will act harshly, brutally and unscrupulously. However, in the short term, any scenario is possible. It is because of this that I do not play short with Bitcoin, ”he explained.

On Wednesday evening, February 24, 2021, the cost of digital gold was $ 49,595, having lost 3.21% over the past seven days. The market capitalization of the “first cryptocurrency” for the week decreased by $ 33.4 billion and amounted to $ 915.2 billion. The share of the “first cryptocurrency” in the total market capitalization did not decrease by 0.5 percentage points and at the end of the last reporting period remained equal to 61.3% … shown in bitcoin price analysis citytelegraph

2. Ethereum (ETH). For the “ether”, the past week has also become a week of a rapid rise, renewal of historical highs and the same rapid decline. In general, the price movements of “digital oil” fit well with the average market dynamics. However, the rise in value to $ 2,000, recorded over the past seven-day period, made users think even more about the magnitude of transaction costs. So, a simple commission for exchanging tokens on the UniSwap decentralized exchange, powered by Ethereum, reached $ 67. Excessively increased commissions could not but affect the income of miners who set new records. For incomplete February 2021, miners earned more than $ 1 billion, half of which came from commissions.

On Wednesday evening, February 24, 2021, the cost of Ether was $ 1641 as shown in ethereum price analysis. Following the results of the past seven-day period, the value of the asset fell by 9.54%. The share of Ethereum (ETH) in the total cryptocurrency market capitalization decreased by 1 percentage point to 12.52%. 

3. Binance Coin (BNB). The cryptocurrency exchange’s own token, Binance, was the opening of the previous week. The token soared up in the cryptocurrency rating by market capitalization and firmly settled in third place. This meteoric rise came against the backdrop of a sharp rise in the cost of fees on the “ether” network, as Binance Chain, the native network of the BNB token, was developed as a competitor to Ethereum for DeFi projects.

On Wednesday evening, February 24, 2021, BNB was valued at $ 250.8. Following the results of the past seven-day period, the value of this cryptocurrency increased by 68.32%. The share of Binance Coin (BNB) in the total cryptocurrency market capitalization was 2.57%.

4. Polkadot (DOT). As of Wednesday evening, February 24, 2021, the DOT price was $ 34.25. Following the results of the past seven-day period, the value of this cryptocurrency increased by 11.56%. The share of Polkadot (DOT) in the total cryptocurrency market capitalization was 2.1%.
5. Cordano (ADA). On Wednesday evening, February 24, 2021, the ADA was worth $ 1.01. The weekly growth of this digital asset was 17.44%. The share of Cordano (ADA) in the total cryptocurrency market capitalization was 2.08%.
6. 6. Ripple (XRP). Not only has Ripple failed to fully ride the wave of growth in cryptocurrency assets, but it still continues to receive bumps after the hurricane caused by the SEC lawsuit. So, one of the most, if not the most eminent partner of the company, MoneyGram, said that he was refusing to use the product based on the XRP token due to the notorious lawsuit of the US Securities and Exchange Commission. In the meantime, the SEC has significantly reduced Ripple’s ability to defend itself. Representatives of the Commission filed a revised version of the lawsuit, in which they personified responsibility, focusing on the actions of the company’s CEO Brad Garlinghouse and co-founder of Ripple Chris Larsen. The SEC said that the company’s management deliberately manipulated the value of XRP and sold about 15 billion XRP worth more than $ 1.4 billion.

As of Wednesday evening, February 24, 2021, the value of Ripple (XRP) was $ 0.47, down 13.12% over the past seven days. The share of Ripple (XRP) in the total cryptocurrency market capitalization decreased by 0.18 percentage points to 1.42%.