In July we have seen correction of the whole market since a long time. Only 4 cryptocurrencies didn`t lose in price: Bitcoin, Litecoin, NEM and Dash. Market capitalization has fallen from $99,552 bln to $91,987 bln, it is 8%. Market cap of all other cryptocurrencies (excluding Bitcoin) has fallen from $58,756 bln to $44,599, it is 24%.
July`s winners are modest: The leader Bitcoin gave return rate of just 16%. The second Litecoin made us 7% richer and the third NEM only 3%.
For Bithub.pl Dominik Gordel and Adrian Gozdera comment June:
Holidays didn`t bring stabilization to the cryptocurrency prices – it was just the opposite. Variability on the market has been for once more huge and events changed in a spectacular way. In July everyone looked into Bitcoin. Inside its community there were many political games played by developers, mining hardware producers or people who want undisturbed development of the project. All this was happening in the face of SegWit activation and probable fork of Bitcoin (chain split resulting in creation of BCC – Bitcoin Cash). It is supposed to happen on 1st August. All these events have highly influenced Bitcoin price. From its decline to $1800 in the half of month to sudden euphoria and attempts to overcome ATH few days later. In the last days of July the price has closely come to $2900 and reduces its fluctuations as SegWit approaches. Time to that moment is even counted in hours or minutes. Many exchanges have accepted BCC, though some decided not to accept the second version of Bitcoin. It seems however, that when investors and speculants will have interest in BCC, it may cause a lot of confusion in price and further development of Bitcoin.
When it comes to altcoins, smaller of them are ending month – as usually – on levels way below then these from the beginning. Yet, bigger altcoins such as Dash, Litecoin or Ethereum have successfully managed to stay closely to the month opening price. Today however, everybody is looking on Bitcoin. Although it has been standing aside during spring 2017 „altcoin bubble”, there is no doubt that right now Bitcoin is the main character on the digital money market.
We are standing just few hours before historical day which certainly is going to be remembered in the future. 1st August is the day when first split of Bitcoin should occur. There will be the true one – that will remain Bitcoin – and the fork – altcoin Bitcoin Cash BCC. The whole of July was focused on Segwit activation and BCC fork. Despite of many negative events occurring on the cryptocurrency market, Bitcoin price stays strong. Below I would like to recall what has happened:
- Uncertainty concerning 1st August: Will there be splits? How many altcoins will be created from Bitcoin?
- One of the biggest darknets have been taken down
- BTC-e does not work since yesterday. Exchange should be „theoretically” resumed in 5 to 10 days. No information whether or not it was hack not connected with BTC-e itself.
- Bitcoin mixer disabled (tumbler)
- SEC has decided that all ICOs are going to be treated as securities in the USA
- Exchanges which have added The DAO have done it illegally, yet they won`t be persecuted
- SEC and CFTC`s visit in Poloniex exchange has probably been the cause why exchange did not add new altcoins
- Another hack on Ethereum ICO
- In Greece a person suspected of money laundering through Bitcoin has been captured. It is said that the amount was few millions
- High probability of BCC creation
The dark side of the market has suffered a big punch in the face. This may suggest that the market regulations are coming closer and at last banks are going to seriously take care of cryptocurrencies. It may also suggest that another bubble is likely to occur in next 4 years as the banking industry is going to start bombing average Smiths with cryptocurrency funds. If not this way than probably by investing in blockchain companies on wall street. We may have an odd trend for a while on such companies just as on GPW (Polish stock market) since few years there is trend for companies producing computer games
Author: Dawid Muszyński, Flyingatom.com
Previous ranks of cryptocurrencies: