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Alt-Coins Look To Join Bitcoin Rally

Published 24/11/2017, 11:35
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FTSE Looking To Post First Weekly Gain For 3 Weeks

Stocks in London are trading in the red this morning with the FTSE 100 currently lower by around 20 points. The benchmark is looking to end a 2-week losing streak however, with the index on track for a gain on the week. Sterling is edging higher on the day and has risen above the 1.33 handle against the US dollar and the pair looks set to end the week at its highest level since September.

Centrica (LON:CNA) threatening to fall further

Thursday was a day to forget for Centrica with the stock recording its largest ever daily decline following its latest trading update. The share price is languishing around yesterday’s lows and is the worst performer amongst the blue-chips again today, with the stock down almost 2%. Barratt Developments (LON:BDEV) is also lower on the day, with housebuilders in general failing to rise despite a seemingly positive Autumn budget for the sector earlier this week. The promise of further funds for building homes as part of an attempt to tackle the housing supply problem from the Treasury has failed to see a clear rise in associated stocks, perhaps due to a review being ordered into whether firms are building less than they could in an attempt to artificially boost prices.

Alt-coins look to join Bitcoin rally

Bitcoin has moved higher once more this week with the recovery from the sharp decline earlier this month impressive in its speed even if the fundamentals behind the market remain questionable. Other cryptocurrencies, or alt-coins as they’re also known, were seen as potential winners from the failed software upgrade in Bitcoin due to their favourable characteristics when it comes to carrying out transactions. We saw a clear rotation out of Bitcoin into Bitcoin cash for instance when the former plummeted earlier this month, and even though there has been a subsequent recovery in Bitcoin several alt-coins are looking to build on recent gains. Bitcoin cash is closing in on its all-time high posted during the recent Bitcoin drop whilst Ethereum and Dash have posted record peaks in recent days. Ethereum is the second biggest cryptocurrency by market cap and in moving back above $400 per coin the market has broken above the all-time high made in the early summer.

Dash makes sprint higher

Fans of Dash point to the speed and cost of transactions - which are far quicker and cheaper than those seen in Bitcoin - as reasons why the coin could possibly become a front-runner in the crypto space. The price of a Dashcoin has double in the past 2 weeks following the successful implementation of a software upgrade, which neatly contrasts the current differences to Bitcoin. Whilst the latest price of around $550 is far lower than that of Bitcoin it should be remembered that not much more than a year ago Bitcoin traded at comparable levels and with more favourable characteristics there is a chance that Dash is as well positioned as any to challenge Bitcoin should the market leader lose its position due to its inferior characteristics relating to transactions.

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