Monero Price Analysis – USD Value Dips As BTC Value Remains Flat
Things are looking very positive for Monero community members right now. The value of the cryptocurrency keeps growing compared to BTC. Unfortunately, today’s Bitcoin flash crash has caused a slip in fiat currency value for XMR, but that may only be a temporary setback. There is no reason to panic for Monero holders just yet, as more gains are looming on the horizon.
Monero Continues To Hold Steady
Over the past few years, altcoins have had a tendency to suffer from Bitcoin volatility. If the BTC price goes up, altcoin prices tend to plummet, and vice versa. But Monero, together with a few other currencies, has bucked this trend for most of 2016 and continues to do so in the early days of 2017. In a way, this seems to indicate Monero’s value is no longer linked to Bitcoin, even though the BTC market generates nearly all volume for this altcoin right now.
Today’s Bitcoin price crash, which saw the value drop from over US$1,100 all the way down to US$885.41 for a brief moment, Monero’s chart remains virtually unchanged. In fact, the value against Bitcoin has improved slightly, rising to a solid 0.01615 BTC per XMR. That is positive news for altcoin community supporters, as resilience against Bitcoin is a positive indicator.
Contrary to what some people may believe, it does not appear there has been a swap from Bitcoin to Monero by investors either. Monero’s trading volume is on track to reach the same level as yesterday’s and maybe even slightly overtake it. But the trading volume over the past 24 hours has changed compared to previous days.
The USD market now represents 8.27% of the total volume, and the EUR market represents 2.72%. These numbers are still small compared to Bitcoin’s market share of 88.6% of all trades, but it is worth noting fiat markets see an increase in volume right now.
One downside to the Bitcoin price volatility is how the USD value of XMR has dropped to US$16.05. That is still a strong point of consolidation, as things could have been far worse. The market cap for XMR dipped just below US$220 million as well, but that situation can be rectified over the coming days if the trading volume remains strong. That said, the fiat currency value dipped by over 7%, which is quite a lot, but nothing insurmountable.
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