The global crypto market cap was below the $2 trillion mark, declining 3 per cent compared to the last day. Similarly, the total crypto market volume declined about 4 per cent to $109.12 billion.
Bitcoin’s burst above the $50,000 level didn’t last long and chart patterns signal its rally since July is at risk of fading. The drop pared Bitcoin’s rally since a July low to some 60 per cent.
“The last day has seen the majority of the coins in red due to selling off except Solana. Despite the dip, the market cap stands close to $2 trillion,” said Sharan Nair, Chief Business Officer, CoinSwitch Kuber.
The crypto markets are in a difficult spot right now as they are not finding strong support. The past 24 hours witnessed intense volatility. The entire market felt the shock of this volatility with a similar selloff across the spectrum. Over the next 24 hours, markets can be expected to remain shaky, said Edul Patel, CEO and co-founder of Mudrex.
Tech View by ZebPay Trade Desk
Options worth $800mn expire today, which might impact the price of ETH. ETH’s rally has fuelled congestion on its network, leading to higher gas fees and further stressing the network. This could be the reason why, despite inflows coming in, ETH hasn’t seen a rally as large as its close competitors like Solana or Cardano. At this point, the network seems to have become its own worst enemy as the increasing adoption has contributed significantly to the rise in competitors’ decentralized finance applications and growth.
ETH made a ‘double bottom’ or a ‘W’ pattern at $1,720 with a neckline of $2,400. The asset resisted a couple of times around these levels but once it was breached the bulls grabbed the opportunity with both hands as it made a high of $3,380, surging almost by 96.5%.
Currently, the asset is resisting at a crucial level of $3,350 (61.8% Fibonacci retracement level) and trading in a broad range from $3,350 to $2,975. Breakouts on either side with good volumes will further decide the trend for the asset.
Support: $2,950, $2,650
Resistance: $3,400, $3,850
Time is in UTC and the daily time frame is 12:00 AM – 12:00 PM UTC
(Views and recommendations given in this section are the analysts’ own and do not represent those of ETMarkets.com. Please consult your financial adviser before taking any position in the asset/s mentioned.)