Largest volume day in crypto history
Cryptocurrencies just experienced its largest volume day in history. More than 70% higher volume on April 2nd compared to when Bitcoin hit an all-time higher near $20,000 in December of 2017.
Massive volume creates history
According to aggregated volume data provided by TradingView, April 2nd, 2019 was the single largest volume traded day in cryptocurreny’s history. How substantial was this volume? Massive. Prior to April 2nd, 2019, the largest single volume trading day was on January 9th with 42 billion. April 2nds, volume was 71.56 billion – a +70% gain. And shockingly, the first two hours of the April 3rd trading day is already equal to the entirety of April 2nd’s volume (although this may be an error). And this influx of volume has created substantial gains across the board.
Bitcoin’s drive higher has been massive. According to Coinbase’s data, Bitcoin experienced the highest traded daily volume since February 6th, 2018.
Litecoin’s volume has been equally powerful – but it’s the price move it has experienced that is more impressive. Litecoin has moved very close to the $90 value area – the current high of 2019 is the current April 3rd daily candle with a high of $84.17. Litecoin has just demolished the prior trading zones and has moved to 8-month highs – trading at the same level Litecoin was on July 28th, 2018.
Cardano is very close to hitting the key $0.10 level. Since the December 2018 (and yearly 2018) low, Cardano has now rallied over +246.66%. Similar to Litecoin’s price action, Cardano is trading at 6-month highs – with a strong continuation pattern forming, indicating higher prices.
Zcash has finally broken out of its tight range to move into the $70 value area. There’s currently some short term resistance ahead, but with Zcash creating new 4-month highs and showing a strong continuation pattern ahead, that resistance may be tested only once before breaking above it.
Short term resistance ahead?
As with all major moves like this, it is very common to see some pullbacks and profit taking. This is especially true for investors and traders who have been in the market since any point back in 2018. It’s easy to become cautious of moves like this and want to take profit early – very normal. But it’s important to remember to view the market as an analyst and remember the basics of Dow Theory and the basics of how new trends form off of old trends. This market looks to be breaking out of a very tight consolidation zone and could be entering a whole new bull trend. Personally, I believe this to be true. However, I want to see a pullback in this market at some point and I want to see how we participants will react to strong selloffs. But we might need to see Bitcoin and the rest of the market move another 10-15% higher before that scenario would take place.