Bitcoin Cash (BCH) is leading the market higher, up 10% at $615 and Ethereum is 5% ahead to reclaim $220.
Bitcoin which up until now has been the pole star of the market is also rising, but by as much as our leaders.
Nevertheless, it has still advanced 1.8% to $6,542 over the past 24 hours, according to coinmarketcap.
It would appear the Coinbase effect may have got the ball rolling with its accelerated listings, the latest of which being BAT. Add to that exchange support for the Bitcoin cash fork upcoming on 15 November is also in play.
Stellar Lumens (XLM) giving away $125 million worth of tokens via the Blockchain wallet has also perked up sentiment. The XLM token is 5% higher at $0.26.
Further down the market cap rankings Singapore-based decentralised app platform Qtum is up 8% at $4.21.
Justin Sun’s Tron, which has just past one million daily transactions, is 6% up at $0.025.
Democratic midterms feelgood factor?
But is there something else going on? Some of us are watching the US midterm election results coming in and its the Democrats that look likely to win the House of Representatives.
Maybe that is creating a feelgood factor among millennials. And given that millennials break towards the Dems, maybe they are feeling a bit more upbeat about where the world is headed now that Trump looks like he is about to be reined in and neutralised by Congress. Investment decisions can be governed by such apparently irrelevant factors – it all adds to the mood music. Then again, it may just be a disconnected coincidence.
Besides, the retail crowd is burnt out, which goes a large way to explaining the bear market and current low volatility. The market is still waiting for the wall of institutional money to materialise, from BlackRock to Goldman Sachs.
Total market cap has risen to $220 billion with only 10 coins in the red among the top 100.
Or perhaps institutions are starting too make their move, calculating that we really are at the bottom and the only way is up.
Even if BCH is leading the market today, bitcoin is still the key. In that regard the likely resistance is at $6,600. With bitcoin again challenging that crucial level, market participants can be forgiven to be a little weary of the successive rejections of price moves above that level, but maybe this is the real McCoy.
If bitcoin can hold above the 50-day moving average on the 1 hour chart, then this may not be another one of the fakes we have seen in previous weeks.
If $6,600 is challenged successfully then the next stop is another assault on the all-important $7,000 level.
BTC/USD 1-hour chart