First Week of 2020: Crypto Market Capitalization is Growing

According to CryptoCompare, Bitcoin began the year with a price of $7174. Since then, it has grown by almost 10%, since currently, on January 7, 2020, at 11:00 GMT, it is trading at $7903 —  the first cryptocurrency has grown by 4.36% over the past 24 hours.

Altcoins are also following the trend — among the TOP 10, one can note the growth of XRP and Monero (XMR).

The growth of the cryptocurrency market at the start of the second week of 2020 may be due to several factors. As such, bitcoin is considered a macro-hedging asset, like gold: developing geopolitical tensions help these assets grow in value over the past few days. Speculators buy bitcoin, hoping that it will soon be seen as a safe haven asset, which could mean increased demand in the future.

One should not forget about the moment of the halving, which is expected to happen on May 13, 2020: more and more people are getting aware of the significance of this event. Speaking of the short-term events, market can note an increase in Tether's capitalization by another $500 mln, which could provoke fluctuations.

It is also worth noting that on January 1, the complexity of Bitcoin mining again updated its ATH, reaching 119 EH/s.

Image courtesy of Pymnts