Cryptocurrency market over the course of week saw bears dominate the price action post weekend highs. The bearish decline started post SEC’s delay in approving Bitcoin ETF requests from major players in the crypto market. The bearish cues in market saw further strengthening on profit booking activities and lack of investor appetite for further upside move caused Bitcoin and altcoins to see steep declines breaching multiple critical support price levels. However, strong support near yearly lows last seen during January helped prevent further declines, post which crypto bulls are seeing rebound and consolidative price action. As trading session heads to weekend, the overall market capitalization of the cryptocurrency market is at US$ 260 billion having declined by nearly US$22 billion seeing a total loss of US$39 billion in market capitalization since last weekend.
Bitcoin: Bitcoin, the progenitor of cryptocurrency saw further declines since Wednesday declining well below $9700 handle but strong support nearly 2019 lows helped prevent further declines. The current market capitalization of cryptocurrency is currently at US$ 176.85 Billion and BTCUSD pair has managed to regain stable hold over 10K handle and is trading at $10055 up by 0.54% on the day. When looking from technical perspective, the pair is still in bear’s territory but bears seem to be losing steam. Price is below all three SMA’s – 9, 50 and 100 across all intra-day charts but is seeing price move in parallel to 9 SMA, While signal line of RSI indicator which is used measure momentum of price action is seeing signal line turn upwards in oversold territory currently at 39 hinting the weekend is likely to see further rebound activity. However, BTCUSD pair still faces strong resistance around $10500 handle which needs to be breached for BTC bulls to resume rally aiming at scaling back 2019 highs.
Ethereum: Ethereum, the second largest cryptocurrency after Bitcoin in terms of market capitalization suffered third highest loss over the course of last seven trading sessions from among top ten cryptocurrencies after Bitcoin and Monero which declined by 16.93% & 15.93% respectively. Since Wednesday, Ethereum has lost US$ 2.64 billion in market cap. The ETHUSD pair is currently trading at $183.44 up by 0.26% on the day with a market cap of US$ 19.61 Billion as of writing this article. When looked at from technical perspective, price action display a clear prevalence of dovish bets and dominant influence of market bears on ongoing rally which seems unlikely to lose steam anytime soon. Price is below all three SMA’s – 9, 50 and 100 across all intra-day charts and the signal line of RSI indicator which is used measure momentum of price action is also seeing signal line move with downward incline in oversold territory currently at 27 hinting that the rest of the day and weekends trading session are likely to see further declines.
Ripple: Ripple similar to Ethereum is trading well inside bear’s territory. Ripple lost over US$ 1.59 Billion in market cap since last Wednesday. As of writing this article, XRPUSD is trading at $0.26 down by 0.99% on the day and has a market cap of US$ 11.03 Billion. Ripple has declined below multiple critical support levels during the sharp decline hitting week’s low at 0.2364 post which it had rebounded back above $0.25 handle. The pair has since maintained a steady range bound price action between 0.2550 to 0.2710 price range. When looking from technical perspective, the intra-day charts paint a picture which is very similar to Ethereum’s technical outlook. The price is moving well below all three SMA’s – 9, 50 and 100 across all intra-day charts and the signal line of RSI indicator which is used measure momentum of price action is also seeing signal line move with downward incline in oversold territory currently at 23 suggesting bears are likely to dominate price action of Ripple. Moving forward, over the course of weekend unless the pair reclaims hold above 0.28 handle XRP will remain in consolidative move in familiar price levels with chance for further declines.
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