12.05.202118:17 Forex Analysis & Reviews: ETH pulls the market up, XRP and LTC storm psychological marks: analysis and forecasts

Over the past few days, the cryptocurrency market has been in a volatile state, accompanied by fluctuations in BTC, XRP, and LTC. After a slight decline in ETH and a negative report by JPMorgan on the real value of ether, there were every prerequisite to assume that the market would go into correction. However, over the past day, the total capitalization of all cryptocurrencies increased by 5%, and the market exceeded the $2.5 trillion mark.

Ethereum became the main driver of the successful period of the entire crypto market. The asset continues to grow its audience and institutionalize. A recent and upcoming update to version ETH 2.0 acts as support in this. After the negative associated with the JPMorgan report, which said that the asset is overvalued by 100% and its real price is $1,000, the cryptocurrency quotes have held on to safe positions. As a result, over the past 24 hours, ether has grown in price by 8%, reaching a new all-time record of $2,346. Over the past week, the asset has risen in price by 32.5% and, judging by the volume of daily trading, has not yet exhausted its safety margin. In the near future, the asset may continue to grow, but in the longer term, it is hardly possible without correction. It became known that already in May, commissions on the ETH network, despite the update, increased by 563% and reached $65. It is this factor that can cause a decrease in demand for the asset and its further correction.

The XRP token remains in the range of $1.40-$1.50, which is actually a positive result. During the day, the asset has risen in price by 1%, which indicates the strong support of the cryptocurrency market. In the near future, the token will not show rapid growth without significant news impulses. In this regard, the asset is similar to LTC, whose indicators managed to overcome the $370 mark. Over the past 24 hours, the cryptocurrency has risen in price by 3%, but by 13:00 UTC it dropped to $365, which indicates that there are no prospects for Litecoin in the near future.

At the same time, a negative background has developed on the cryptocurrency market due to the SEC's statement that bitcoin is a speculative asset with a high share of risk. Investors' significant fears are caused by the rapid growth of unknown altcoins a week ago. Cryptocurrencies rise in price by tens of percent every day, which undermines the stability of the market. Many institutions are anxiously awaiting further developments that could trigger a sharp decline in the entire crypto market. The fact that the total value of all cryptocurrencies exceeded $2.5 trillion, where many leading experts and analysts predicted a correction, does not add optimism. In the next few days, coin quotes will continue to grow and try to overcome psychological boundaries, but in the longer term, the market will face a technical correction.