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Bitcoin Price Dips Below $9,000 But Tron and Verge Continue to Record Gains

Last Updated March 4, 2021 5:06 PM
Joseph Young
Last Updated March 4, 2021 5:06 PM

The bitcoin price has dipped below the $9,000 mark, recording a 4 percent drop in value overnight. Despite bitcoin’s struggle, several tokens including Tron (TRX) and Verge (XVG) have recorded major gains over the past 24 hours with XVG demonstrating a 10 percent increase in value.

Best Performers: MANA, XVG and Tron

The best performers of May 1 are Decentraland (MANA), Verge (XVG), and Tron (TRX). The rise in the value of Tron is attributable to the rising interests from investors towards the mainnet launch of the Tron network. The Tron mainnet is expected to launch on May 31, as its founder Justin Sun revealed on social media.

Similar to EOS, Tron is yet to launch its mainnet. It released its testnet in March and since 2017, the project has been in development. Without a working mainnet, both networks are valued at $14 billion and $6 billion respectively, with a daily trading volume of above $6.4 billion.

Currently, traders are concerned in regards to a potential dump that may occur immediately after the mainnet launch of Tron and EOS, as investors in the cryptocurrency market tend to buy the rumor, news, partnership, and product launch, and dump the cryptocurrency quickly thereafter, as soon as a partnership or a product launch is finalized.

MANA, the token of Ethereum-based virtual reality platform Decentraland, has recorded a 11 percent increase against bitcoin and a 6 percent rise against the US dollar. Currently, MANA is being traded at 0.00001810 BTC, up by nearly 20 percent from the 0.00001550 BTC mark since April 30.

The demand for MANA is increasing at a rapid rate due to the rise in interest from both developers building virtual reality products on Decentraland and institutional investors such as Digital Currency Group (DCG).

Last week, DCG bitcoin and blockchain investor Travis Scher said that Decentraland could evolve into a leading virtual reality-based platform and could take off as the next big media platform. Scher noted that other investors in Decentraland are interested in the token because of its potential to be at the forefront of both virtual reality and blockchain technology development.

“First, we believe it’s inevitable that humans will spend a significant amount of time in virtual worlds in the future (both web-based worlds like Second Life and eventually in full scale VR-based worlds). So, something like DCL could become the next big social platform,” said Scher. 

Bitcoin Trend

The most dominant cryptocurrency in the market has struggled to rebound over the past 24 hours, closing April 30 with a loss of 2 percent and continuing its loss throughout May 1. Technical indicators and momentum oscillators suggest that bitcoin is in a neutral zone and that it is in an ideal position to recover.

The Relative Strength Index (RSI) of bitcoin is at 55 and is currently not demonstrating neither overbought or oversold conditions. If the daily trading volume of bitcoin can improve, it is possible that bitcoin makes its way back to the $9,500 region and eye a move to the $10,000 region.