Shiba Inu is among the top gainers among the top 100 tokens as per the market cap, with a notable jump of nearly 10%. The token surpassed the crucial $0.0001 in the early trading hours, which offered significant boosts to the bulls, who now appear to be poised to clinch the higher targets. Besides, the DOGE price is also preparing to undergo a strong upswing as it appears to have reached the bottom of the consolidation, which is expected to trigger a healthy rebound.
So, is it a good time to buy Dogecoin or sell Shiba Inu?
Ever since the SHIB price completed a rest after the breakout from the crucial levels at $0.00000919, it has been maintaining a steep upswing. The buying volume has soared by four times from $2 trillion to $8 trillion, which has set up a base for a fine upswing. However, the technicals appear to be taking a bearish reversal soon, which may drag the price slightly lower during the weekend.
The Shiba Inu price has been maintaining a healthy upswing ever since it triggered a bullish rebound in the first few days of June. The price has been following a parabolic recovery since then and is approaching the neckline of the curve. However, to do so, the price could undergo a minor pullback to test the lower support below $0.00001.
This may further trigger a healthy rebound, as the price may certainly sustain within the curve and head forward. On the other hand, the Dogecoin price is displaying acute strength by maintaining a steep upswing. Although the volume remains largely depleted, buying pressure has accumulated, which may help the price maintain an ascending trend. Besides, the RSI is incremental and has yet to reach its upper resistance.
As seen in the above chart, the DOGE price is approaching the upper resistance of the descending parallel channel. A breakout from this pattern may confirm a rise above the bearish influence. However, the chances of a bearish reversal appear to be less at the moment, and hence a notable surge could be imminent.
Collectively, the memcoins have gained significant attention in recent times with their growing volume. Therefore, Dogecoin and Shiba Inu are undergoing major price changes, and the upcoming weekend could be crucial for both popular tokens.
AAVE has gained significant popularity in the DeFi space due to its innovative features and robust functionality. Avorak AI, an advanced blockchain-powered AI solution leveraging its trade algo algorithms, forecasted AAVE’s recent downturn and bottom low of $56.50. Avorak AI aims to assist traders in making informed decisions and optimizing their trading strategies. Within the AAVE ecosystem, Avorak AI’s trade algorithms have played a role in identifying potential trading opportunities by capitalizing on sharp fluctuations witnessed.
What Is AAVE?
AAVE is a decentralized finance (DeFi) protocol allowing users to lend, borrow, and earn interest on crypto assets. The lending platform operates through smart contracts, enabling users to provide liquidity by depositing their crypto assets and earning interest or use as collateral to borrow other cryptocurrencies.
AAVE’s notable feature is the offer of uncollateralized flash loans that must be repaid within the same transaction. Flash loans allow users to execute various complex strategies in a single transaction, making the product popular among sophisticated traders.
AAVE’s native token, AAVE, plays a governance and transactional role within the ecosystem. AAVE token holders can participate in governance, vote on proposals for protocol changes, and earn a portion of the fees generated by the platform.
Is AAVE A Good Investment?
AAVE’s price was $67.11 at the time of writing. It is worth noting that the cryptocurrency AAVE has experienced fluctuating price movements recently, starting the last week of June at a low of $56.50. Despite recovering to a high of $75.15 days later, it fell to $58.86. However, with AAVE currently trading at $67, there is hope for a potential surge in its price.
One challenge that Aave has faced is a decline in decentralized finance (DeFi) activity. Aave is known for its position as a leading decentralized lending ecosystem, enabling users to borrow and lend various crypto assets while receiving rewards. This decline in DeFi activity has been a weak point for Aave but does not diminish the platform’s potential for growth and development.
Despite the challenges, Aave remains a prominent player in the DeFi sector, and its ability to adapt and innovate within the industry could influence its future success. Investors and traders should closely monitor Aave’s performance, market trends, and developments in the DeFi space to make informed decisions regarding their involvement with the cryptocurrency.
Avorak AI (AVRK)
Avorak AI is a cutting-edge solutions and insights provider in cryptocurrency investment and trading. Utilizing sophisticated trade algos and machine learning techniques, Avorak AI aims to empower traders and investors with valuable data, analysis, and predictions enabling them to have an upper hand and optimize their trading strategies.
The Avorak Trade Bot combines AI’s power with cryptocurrency’s secure systems to offer vartious functionalities. Avorak Trade algos deploy technical analysis tools, market insights, trend predictions, and suggestions to help individuals navigate the volatile cryptocurrency markets. Avorak Trade algos are known for their accuracy.
Avorak presents a profitable investment opportunity through its native token, AVRK currently in the final stage of its ICO. At phase eight, AVRK has surged 350% to $0.27, allowing the early investors to profit from the rising token value, which will launch at $1. Some exchanges confirmed for AVRK listing are Azbit, PancakeSwap, Coinsbit, and LAToken.
Furthermore, Avorak AI goes beyond just providing trading signals. It offers a suite of utility solutions, such as trade bots, chatbots, image generators, and writing assistants, catering to diverse needs in the cryptocurrency space. These tools enhance trading efficiency, automate processes, and deliver refined outputs for traders and content creators.
By combining the intelligence of AI and cryptocurrency technologies, Avorak AI aims to empower traders, investors, and businesses with powerful tools and insights, helping them navigate the complexities of the cryptocurrency market and stay ahead of the curve.
The Cardano (ADA) has undeniably grown to a mature network with a market capitalization of $10 billion and over 4 million non-zero addresses. Despite the recent Cardano calls as unregistered securities by the United States Securities and Exchange Commission (SEC), the more than 22.79 billion staked ADA out of 45 billion in total supply speaks volumes on the network’s decentralization aspect.
As a result, most crypto analysts are bullish on the long-term success of the Cardano network amid mainstream blockchain adoption.
Moreover, the network’s DeFi ecosystem has been steadily increasing with the total value locked (TVL) at about $164.19 million, while its stablecoin’s market cap was around $14 million on Monday. With more than 51k daily active users, it is safe to say that the Cardano network is well slated for mainstream global adoption.
Cardano Price Analysis
The Cardano (ADA) price has technically been trapped in a macro bear market since September 2021. However, the ADA market has recorded diminishing losses YTD, which largely depicts a possible reversal ahead.
Moreover, after declining more than 64 percent during the first half of last year, ADA prices dropped approximately 2 percent YTD. With a possible double bottom on the daily and weekly charts, a popular analyst on TradingView Alan Santana expects the digital asset to rebound strongly towards its ATH.
In the long term, the analyst expects the ADA price to trade between $4.9 and $7.77 with possibility of rallying further.
“The really nice part is that this “long-term” is not that far because it is only less than two years away, which is actually pretty close,” the analyst concluded.
The Cardano (ADA) network, a prominent smart contract ecosystem, is currently facing a critical support level that could potentially lead to increased capitulation. Despite a reduced decline rate this year, there are lingering risks of further capitulation at the current trading levels of approximately 29 cents. Additionally, Bitcoin’s dominance has been on the rise, indicating a flow of funds toward the leading digital asset.
ADA Price Analysis
Well-known crypto analyst CryptoCapo has expressed concerns about the price action of Cardano (ADA), suggesting that the cryptocurrency is on the verge of a major capitulation. The analyst has set a target range of 10 to 12 cents for ADA’s price, anticipating a final drop of 60 to 65 percent to establish a bottom after the completion of the current bearish flag.
On the other hand, CryptoCapo also highlights potential resistance levels for Cardano (ADA) at around 40 cents and $1 in a more optimistic scenario. However, the analyst has maintained a generally bearish outlook on the entire crypto market, even amidst the relief rally experienced during the bear market.
SEC Allegations and IOHK’s Response
The United States Securities and Exchange Commission (SEC) has included the Cardano (ADA) network among those named in connection with unregistered offerings. The SEC claims that Cardano and other networks have raised funds through unregistered token sales. However, IOHK Founder Charles Hoskinson has strongly denied these allegations, emphasizing the highly decentralized nature of the Cardano network.
The recent altcoin crash has been a significant setback for many cryptocurrencies, and Cardano is no exception. The SEC’s security claims have sparked a wave of uncertainty in the market, leading to a widespread sell-off. This sell-off has been particularly harsh on altcoins, which have seen their prices plummet. Amidst this turmoil, Bitcoin’s dominance continues to rise, casting a long shadow over altcoins, largely impacting the Cardano (ADA) price.
Cardano Network’s Developments Give Bullish Promises
Recent lawsuits by the U.S. SEC against Binance and Coinbase, labeling Cardano as a security, led to a drop in its price to $0.23. Despite this, some of Cardano’s metrics reached yearly highs, indicating increased adoption, according to data from Santiment. These metrics could suggest whether Cardano has hit its price floor.
Santiment reports that Cardano’s trading volume has recently surged, reflecting growing network activity and interest in the cryptocurrency. This heightened trading volume signifies active engagement from traders with the asset.
Cardano’s daily active addresses hit a yearly high, indicating increased user activity. Alongside this, its social dominance also surged, suggesting a highly active market. Despite the price drop, these metrics show increased transactions and interest, possibly indicating a market bottom for Cardano.
Data from DeFi Llama reveals a $50 million drop in Cardano’s Total Value Locked (TVL) since June 5, from its May 2022 peak of $183.06 million. However, in terms of ADA, the TVL is at a record high of over 507 million, marking a 250% increase since the year’s start. This resilience is attributed to network enhancements, including the May launch of Hydra, Cardano’s scalability solution.
What To Expect From ADA Price Next?
Cardano’s recovery recently faced a roadblock near the $0.28 level, a clear indication that bearish traders are putting up a strong fight to maintain the current bearish rally. As of writing, ADA price trades at $0.258, declining over 5.8% in the last 24 hours.
If the bulls are unable to push the price above $0.29 resistance level, it’s likely that the price of ADA may take a downward turn and slide towards the support level at $0.2365. If the price bounces back strongly from this level, it could result in the ADA price oscillating between $0.24 and $0.30 for several days, creating a range-bound scenario.
However, if the bulls manage to drive the price above the $0.3 mark, it would suggest that the recent downward trend may have reached its end, at least in the short term. This could pave the way for a potential rise to the 100-day Exponential Moving Average (EMA) which stands at $0.34.
If the momentum continues, the price could further ascend to hit a critical resistance at $0.36. This would be a positive sign for Cardano, indicating a potential shift in market sentiment from bearish to bullish.
Bitcoin remains in dire straits as the bulls stay off the shore. The token failed to regain $26,000 during the weekend, which was much expected and kept the market participants less hopeful of the upcoming trend. The global market cap also appears to be losing its grip, as a massive drop in trading volume recorded in the past 24 hours. Meanwhile, the BTC dominance is rising and heading strongly towards 48%.
So, does the current calm indicate the resurgence of a decent upswing or the preparation for another bearish move?
The price of BTC is closely trading along the lower trend line that it has maintained since the beginning of 2023. Even though the present levels display some strength, they may not continue to sustain themselves for long. The root cause could be the miner’s preparation to slash the BTC price lower ahead of the upcoming Bitcoin halving.
According to the data from Glassnode, the miners have sent a significant amount of BTC to the exchanges over the past week. The levels recorded are the highest in the past 12 months, at around $70.8 million, and the third largest of all. It is hardly $30.2 million less than the levels recorded during the primary bull market of 2021, which were around $101 million. This suggests the miners are about to accomplish a massive move that may directly impact the BTC price in the short term.
During the 2021 bull run, when the levels hit above $100 million, the BTC price dropped hard from the interim highs at $64,854 and tested the lows around $28,805 in less than 45 to 50 days. Therefore, now that the miners are again planning to mount significant selling pressure, the BTC price may soon land in deep trouble.
In such cases, new bottoms may also be speculated on, and hence the traders need to closely watch the price actions and act accordingly.
In a noteworthy development for the cryptocurrency market, the trading volume of centralized exchanges experienced a substantial decline in May 2023, reaching its lowest point since October 2020. According to data from The Block, this decline amounted to a staggering $440 billion, reflecting a notable 27% decrease from the previous month.
What is the reason? How is this going to impact you, the investor? We’ve covered it all. Read on!
Growing Trust Issues
One of the primary factors contributing to this decline is the mounting concern surrounding trust issues associated with centralized exchanges.
The market was shaken when FTX, the second-largest and fastest-growing crypto exchange, suddenly collapsed due to a takeover by its rival Binance. This development followed a pattern seen earlier with the abrupt closures of other prominent crypto firms, including Celsius and Voyager. These struggling companies even resorted to tapping into customer accounts in an effort to stay afloat, further eroding trust in centralized exchanges.
Large Firms Withdraw from Centralized Exchanges
In addition, to trust issues, the withdrawal of large firms from centralized exchanges has also played a role in the overall decline in trading volume. According to a recent report, Binance, the largest cryptocurrency exchange by trading volume, witnessed a significant drop in monthly exchange volume during May, falling by approximately 26% compared to the previous month.
Decentralized Exchanges on the Rise
Amidst the decline in centralized exchanges, a notable trend has emerged: the rise of decentralized exchanges (DEXs) as a viable and attractive option for traders.
Operating on blockchain networks, DEX platforms offer increased security, privacy, and control over funds by enabling users to trade directly with each other, bypassing intermediaries. Data from Dune, an on-chain analytics firm, reveals a surge in the number of users across various DeFi platforms in May 2023, reminiscent of the peak levels witnessed during the bullish phase in 2021.
Memecoins Steal The Spotlight
While the user base of decentralized exchanges expanded, the trading volume on DEXs experienced a slight dip in May. Settlements of trades on non-custodial exchanges amounted to $72.4 billion, reflecting a 2% decline from the previous month, as reported by Dune.
It’s important to note, however, that this decline in trading volumes was partially attributed to a higher proportion of low-value transactions, particularly driven by meme-coin trading.
The Future of Centralized Exchanges
As the market adapts to these changing dynamics, it remains to be seen how centralized exchanges will respond to the growing demand for decentralized alternatives and restore faith among traders and investors.
The decline in centralized exchange volume raises important questions about the future direction of the cryptocurrency market and the role that trust, security, and decentralization will play.
The crypto market lost more than $2 trillion in valuation during the 2022 downturn. The total crypto market capitalization dropped below $800 billion but has since topped $1.2 trillion following the relief rally that began in January.
Whale crypto traders and increased adoption of the Web3 market by institutional investors have significantly bolstered the digital asset industry. Moreover, investors have more confidence in Bitcoin and other digital assets following the recent banking crisis that magnified possible challenges the traditional financial institutions are facing.
Crypto Macro Outlook
In a recent YouTube interview with Scott Melker, the host to The Wolf Of All Streets podcast, Mike McGlone – a senior macro strategist at Bloomberg – and Dave Weisberger, CEO of CoinRoutes, discussed the macro-financial outlook that affects Bitcoin and other digital assets in price action and adoption. To begin with, the three acknowledged that next week’s Federal Funds Rate will have no outrageous effect on Bitcoin and the rest of the crypto market.
Moreover, the Fed’s balance sheet has been shrinking after the recent expansion caused by the banking crisis. Nevertheless, the analyst noted that Bitcoin and other digital assets stand a solid chance of adopting amid global inflation led by the second largest economy in South America, Argentina, which saw its inflation soar above 100 percent.
Notably, the IMF and Fernandez’s administration in 2022 reached a new $44 billion deal but was negotiated with several conditions including crypto de-risking. As a result, the analysts highlighted that Bitcoin’s market is bullish in the long term, although a possible recession could shrink the prices before the next halving event.
“Good news is Bitcoin had its 80 percent correct… but it doesn’t mean it can’t go back and test 20,15, 19k,” McGlone noted.
After a lot of tussles, the crypto markets seem to have attained some stability, as the major cryptos are trading along their respective resistance levels. Bitcoin trading above $28,000 and ethereumethereumBlockchain NetworkTechnology approaching $1900 flash bullish signals for the entire crypto space.
Meanwhile, the prevailing consolidation is expected to continue for some more time as the bulls are currently accumulating strength to rise ahead.
The Ethereum Shapella upgrade is all set to go live on April 12, 2023, which will enable the withdrawal of 18 million staked ETH worth around $33 billion.
Hence, many worry the withdrawal may cause a huge ETH price dump; meanwhile, some think the upgrade may be bullish for the second-largest token in the long run.
Presently, the ETH price is displaying acute strength, and a breakout beyond the major resistance just above $1890 may pave the way for giant price action.
The ETH price since a fortnight has been following a pre-determined trend of consolidating for about a week and is undergoing a giant price action ahead. With this calculated approach, the price has managed to rise from $1700 to the current level. Currently, the price is about to break yet another consolidation, which may raise the levels beyond $1919 very soon.
A bounce from the aforementioned levels could trigger another 10% jump to leap beyond $2000 and reach the crucial resistance level of $2022. Presently, the token has confirmed a rising demand from buyers as it has tagged a 4-hour fair value gap (FVG). Therefore, if the price holds up this weekend, a bullish move may be triggered, which may keep up the bullish momentum throughout the coming week.
Besides, the bullish scenario may be invalidated when the Ethereum (ETH) price slides below $1800, which may lower the price close to $1700.
Shiba Inu (SHIB), a cryptocurrency that took the world by storm with its dog-themed branding, is currently experiencing a bearish trend in the market. However, many analysts and enthusiasts believe that the coin may soon find support and rebound. Additionally, SHIB’s recent network developments and burning events will soon ignite fresh surges and continue the legacy of meme coins in the next few days.
Shiba Inu Sparks Excitement With Web3 Marketplace And Wallet
Shibburn, an initiative to burn Shiba Inu tokens, has announced that it will be unveiling new Web3 projects in the near future. These projects will be integrated into the redesigned Shibburn website and will include a marketplace, a wallet, and other exciting features that will be fueled by the Shib token.
Moreover, in a recent tweet, the Shibburn transaction tracker shared data indicating that the Shiba Inu community has successfully eliminated a significant amount of SHIB from the circulating supply over the past seven days.
The Shiba Inu community has sent a total of 1,073,775,122 SHIB to dead wallets in the last seven days, which is a 45.04% decrease from the previous week’s destruction. Despite the decline, the weekly burns are still at a relatively high level. In the week prior, the SHIB army eliminated 1,642,854,789 SHIB, which included an astounding transfer of 834,804,461 SHIB that were removed from circulation.
However, amid all the chaos, whales are not missing any chance in accumulating the token in dip, as the SHIB token has witnessed massive whale transactions today. WhaleAlert, a cryptocurrency data tracker, has reported that three large sums of SHIB tokens, estimated to be worth $65 million, were transferred between whale wallets, amounting to a total of over six trillion SHIB tokens. It seems these transactions were made due to the upcoming launch of SHIB’s products.
SHIB Price Will Drop More For A Fresh Reversal
On the daily time frame, the Shiba Inu price exhibits mixed signals. While it has broken free from a falling resistance line that had been in place since early February, the price has encountered a hindrance at the 0.786 Fib retracement support level after completing an A-B-C correction under the resistance line.
Meanwhile, on the hourly chart, SHIB is hovering close to the local support level at $0.0000105, and if it fails to rebound, a downward breakout could result in a significant drop to the $0.00001020 zone. The daily chart suggests that the SHIB price is still gathering momentum, with neither buyers nor sellers yet taking control. To achieve short-term bullish goals, buyers must propel the price to the $0.000012 level and maintain it there.
As of writing, Shiba Inu trades at $0.00001067, a decline of 1.7% in the last 24 hours. Analyzing the daily price chart, SHIB’s price is trading below the EMA-50 trend line due to negative market sentiments. It is predicted that the SHIB token will drop to the critical support region of $0.00001, from which it can witness a spike in long positions and surge above $0.00001144.
Renowned trader Peter Brandt has predicted that XRP will reach a minimum target of $3 with the formation of a rare bottom pattern. Despite being a skeptic of altcoins, Brandt has added XRP to his watchlist due to its recent price action.
In a weekly report to his Chart Wizards community, Brandt wrote, “Truly an OG crypto project, I’d have rather watch paint dry for 5 years than hold XRP, and it would have been equally as profitable.” However, he now sees potential in XRP due to the formation of a rare bottom pattern that could lead to significant gains.
XRP Impresses With Recent Price Action
XRP has continued to stand strong amid the shaky market, jumping 22% to $0.581 over the past seven days. The token continues to gain on expectations that Ripple Labs, whose crypto payment network is powered by XRP, may win a favorable ruling in a lawsuit filed against the company by the U.S. Securities and Exchange Commission (SEC).
The SEC charged Ripple with selling an unregistered security, which is XRP. Ripple Labs President Monica Long has said that the implications for the case are broad-reaching for the crypto industry because this decision will ultimately set a precedent for how the U.S. government will look at categorizing crypto assets and regulating them.
Should the SEC emerge victorious, it will rule over the industry with an iron fist, thereby stomping on innovation and the freedom that these technologies bring.
XRP’s Security Status
Ripple CTO David Schwartz recently took to Twitter to address concerns regarding the security status of XRP. David clarified that XRP ceased to be a security when the company relinquished its control over the XRP Ledger, allowing others to maintain it as well.
The debate is really mainly focused on the degree of Ripple’s control over XRP Ledger and the implications of this control on the digital asset’s classification as a security. To this, David stated that Ripple’s actions were for convenience and not out of necessity, emphasizing that there were no significant obstacles preventing others from possessing the ledger.
In any case, on-chain analysts suggest that XRP may dip in the coming days. Despite this, many traders and investors are bullish about XRP’s prospects, given the recent price action and the potential for a favorable ruling in the infamous lawsuit.
The turbulence in the banking industry has influenced the world of cryptocurrencies, particularly Bitcoin. While there was apprehension about the viability of digital currency, recent developments reveal a renewed sense of optimism among traders and analysts as Bitcoin rose to its highest value since June 2022. However, the question remains: is Bitcoin’s recent surge sustainable?
Some traders are bullish on Bitcoin, while others warn that the recent rally may be short-lived. Altcoin Sherpa, who trades pseudonymously, warns that Bitcoin could hit a new high of over $30,000 before tumbling by more than 50% to up to around $15,000.
However, his analysis is based on macroeconomic conditions, and he notes that if inflation is dying down and the Federal Reserve Bank wants a soft landing, Bitcoin may not dip as far as he predicts.
Despite Altcoin Sherpa’s warning, some traders remain bullish on Bitcoin, citing its growing institutional adoption and potential as a store of value. Others are more cautious, noting that Bitcoin’s volatility makes it difficult to predict its future price movements.
At the time of writing, Bitcoin is worth $24,680, leaving traders to speculate on whether it has bottomed out or if there’s still more room for it to fall. It is important to keep an eye on market trends and make informed decisions based on research. While predictions are a good starting point for investors, the crypto market remains unpredictable, and investors should take them with a grain of salt.
Crypto Market Analysis: Since the last three days, Bitcoin and Ethereum have erased almost a significant percentage of the gain they made during the one-day surge. In addition, cryptocurrency investors experienced various outcomes in the past week as Bitcoin reached a six-week peak of $25.1K on Tuesday but shortly fell below $24K after the Federal Reserve released the minutes of its January meeting.
As a result, BTC’s price influenced the altcoin market greatly, plunging ETH price near $1.6K as it has created uncertainty for long position holders.
Where Are BTC And ETH Prices Heading This Weekend?
Crypto investors seem to get trapped in a range-bound region as Bitcoin and Ethereum prices have changed their mood with a downward correction this week. However, as the bearish retracement has not become severe, it creates hope of an upward correction this weekend.
Bitcoin Price Analysis
Bitcoin’s recent surge in price and subsequent setback at the $25,000 threshold may cause apprehension for certain investors. Bears are now resisting at the $25,000 level, and there have been multiple rejections to surpass this level between 16 February and 21 February. Presently, it appears that the $23,500 resistance is gaining more strength to validate BTC’s next movement.
As of writing, Bitcoin trades at $23.8K, with a decline of 1%. Looking at the daily price chart, Bitcoin may surge above $24K this weekend as data shows a spike in long positions near the $24K level. If Bitcoin breaks above $24.2K, there is an 80% probability that it will follow buyers’ goals and reach $25K.
On the other hand, there is a 20% probability of a bearish reversal near $24.2K, which may slump the asset again at the $23K level.
Ethereum Price Analysis
Following a recent rally that led to a weekly high, the price of Ethereum (ETH) appears to be lacking bullish momentum. This depletion of energy resulted in a slight pullback, causing ETH to transform a recently established support level into a barrier of resistance.
As of writing, ETH price trades at $1,636 with a downtrend of 1.27% in the last 24 hours. Ethereum price now struggles to hold above $1.7K, which may soon trigger bears to start a bearish rally this weekend. If Ethereum opens a daily candle below $1,625, it may pave its way toward the EMA-200 trend line at $1,575.
The crypto space has been fascinating ever since the beginning of 2023 as the global crypto market capitalization regained levels above $1 trillion. This move resulted in the Bitcoin price making a giant leap beyond $24,000 and market new highs. Woefully, the price quickly dropped more than 4% to reach levels below $23,400.
In the meantime, the altcoins like Ethereum, BinanceCoin, XRP, Cardano, Polygon, etc are displaying acute strength. The whales have intensified their accumulation as the ADA whales have been recording huge transactions which have been the largest since November 08, 2022, hitting a 12-week high. These whales have accumulated nearly 405.85M ADA since the beginning of the year 2023.
If the bull market is confirmed, these altcoins are believed to rise by another 10x to 15x as predicted by a well-known analyst.
However, the analyst also cautions the market participants of a 70% to 80% drop with altcoins if BTC bottoms are not confirmed. Therefore, it is very important for the star crypto to find its bottoms that further indicate a minor pullback may be impending for the altcoins before undergoing a fine upswing.
The Bitcoin bulls and bears appear in a deep tussle at the moment to gain dominance over the rally. Hence, if the bulls outpower the bear currently, then the possibility of a giant price action towards the south could be possible. Therefore, the bears are expected to utilize all their strength and drag the price lower to get drained out before the next leg up to begin a strong rally soon.
Cardano’s price has been trading in a promising zone due to IOHK’s developmental updates and easing FTX contagion with positive CPI data. However, ADA’s price experiences low strength after continuous bullish trading sessions in the last few days. Now, the massive pump in the ADA price chart seems to become range-bound as it struggles to hold its price above the resistance level due to the wake-up call from bears.
ADA Price Reaches A Crucial Point
The exponential upward rally for Cardano has been stuck in a crucial zone as it fails to break through its strong resistance level. Despite an increase of 55% in TVL (total value locked), ADA price has registered multiple lows and highs and formed a descending channel in the weekly price chart.
A prominent crypto analyst, Blue Profit, predicts a downtrend for ADA price in the upcoming days as ADA wipes investors’ bullish hopes by consolidating near its resistance zone at $0.34-$0.37. The 2-week price chart for ADA shows a falling wedge pattern, and the analyst expects a bearish reversal if ADA fails to hold this resistance zone, resulting in slumping the token hard to the bottom levels of $0.15.
Cardano In A Do Or Die Situation
In the last two weeks, Cardano’s price has rallied over 50% and is currently knocking the $0.4 level to extend its impressive bullish rally ahead. However, a rejection near $0.402 has brought fear among investors as the token tends to end its bullish rally and head toward its previous bottom levels made during FTX’s crash.
According to Coinmarketcap, ADA price trades at $0.35 with an uptrend of 1.34% in the last 24 hours. Looking at the price chart, ADA creates a flip situation near its range-bound zone, bringing FUD sentiments among altcoin investors. Though ADA attempted a recovery rally near $0.4, it failed multiple times as bears got the driving seat. The RSI-14 moves near the 80-level, which is an overbought region that can lead to a downward correction to 23.6% Fib level by this week.
However, Cardano may become bullish if ADA breaks above $0.402 as it can follow a clear upward trajectory to its EMA-200 at $0.43. Moreover, Bitcoin’s bullish trading sessions will significantly impact the altcoin market and can eliminate any bearish sentiment.
However, a downtrend below $0.32 may solidify bears’ domination and bring a choppy situation for traders as ADA can plunge to its 62% Fib retracement at $0.288 with an intense selloff.
The Cardano (ADA) price has been on a free fall since its ATH, $3.09, in August 2021. The eighth largest digital asset by market cap is, however, indicating a possibility of reversal supported by fundamental and technical standpoints. For instance, the weekly RSI indicates the digital asset is largely oversold, even below the 2018 bear market. Additionally, the ADA price is retesting a resistance trend line formed in the past year.
Notably, should Cardano’s price rally beyond current levels of about $0.34, the multi-week bear market will be invalidated. However, a strong rebound from the upper trend line, resistance level, could mean the bottom is not yet achieved.
As with the rest of the altcoins industry, the Cardano price may be waiting for the Bitcoin price to comfortably trade above $21k to invalidate the 2022 bear market. Meanwhile, trading on ADA continues with about $841k liquidated in the past 24 hours according to Coinglass.
Nonetheless, Cardano developers continue to build scalable, secure, and affordable decentralized applications (Dapps). According to data provided by defillama, the total value locked (TVL) in the Cardano ecosystem is about $71.49 million. However, Cardano’s TVL is menial compared to Polygon (MATIC) with over $1.15 billion.
Some of the top DeFi projects that have bolstered ADA prices in the past include DEXes like Minswap, WingRiders, SundaeSwap, and MuesliSwap.
Notably, Cardano’s price has gained approximately 39 percent in the past fourteen days, a rally that began thirty days ago. The decentralized third-generation proof-of-stake blockchain has attracted global users due to its ability to morph with real-world utility. For instance, the Cardano team has been enhancing its smart contract capabilities since the Alonzo hard fork.
Cardano, also known as the Ethereum-killer blockchain, initiated a fresh upward trajectory from the last week as the altcoin market witnessed a major explosion in the price chart since the beginning of the new year. Moreover, ADA’s price has been significantly blown with the current market conditions to mark a notable bullish rally as the network’s developing team, Input Output Global (IOG), reveals developmental enhancements this week.
According to Cardano’s co-founder, Charles Hoskinson, IOG released a toolkit for developers to build side chains of their projects on the Cardano blockchain, shaping a solid roadmap for the ADA token ahead. However, a skyrocketing rally in the ADA price chart may soon turn out to be bull’s trap, resulting in a sharp price slump in the next week with a market cooldown.
ADA Price Shows Signs Of Bearish Reversal!
ADA price has been impressively performing since the beginning of 2023 and has caught the attention of top market analysts and investors with continuous bullish trading sessions. Furthermore, the slowdown in the US inflation data provides solid strength to the altcoin market and pushes major altcoins like ADA to the North.
Though ADA has returned investors over 55% ROI since the price bottom in November, several crypto analysts believe this uptrend could be the beginning of a stretched downtrend, plunging ADA to its monthly lows.
A well-known crypto analyst, VF Investment, gives an eerie feeling for ADA with a bearish sentiment. According to the analysis, the ADA token is poised to retest its strong resistance at $0.405, from which ADA may validate further price movements.
The analyst further states that ADA has been forming a falling wedge pattern since September, and a breakout above $0.4 may be a crucial game-changer for the token to reject its current bearish predictions and head toward new highs.
However, the analyst warns traders of its consequence because a failure to hold ADA’s price near $0.4 may plunge the altcoin into trading below $0.165, bringing a 60% drop from its current price levels.
Is There A Turnaround Due For Cardano?
ADA price seems to stick with the current bullish market conditions as bulls are building great dominance and buying pressure in the price graph. Moreover, the correlation between Bitcoin and the altcoin market has been overwhelming as BTC’s trade above the $20K level may become a catalyst for ADA for a potential bull run and fill investors with bullish hopes.
According to CoinMarketCap, ADA price currently hovers around $0.35 with an uptrend of nearly 1%. Looking at the daily price chart, Cardano may flash strong bullish signals near its 23.6% Fib retracement if it successfully holds near $0.365.
However, the RSI-14 is trading on a parallel channel with stochastic RSI at the level of 76, signifying an overbought region that may thrash ADA downward if it continues to face rejection near the EMA-100 trend line. If the ADA token breaks below $0.33, it may trigger a bearish bloodbath and aim to trade below its Bollinger band’s lower limit of $0.28, where EMA-20 and EMA-50 coincide.
However, ADA may pave a smooth uptrend if it breaks above its weekly RSI level and trades above $0.36, after which the ADA token may skyrocket to break its Bollinger band’s upper limit near the EMA-200 line at 0.43.
Moreover, the MACD line continues to climb slowly above the signal line with SMA-14 trading in a bullish region at 65, forcing the ADA token to retest its resistance near $0.36. It is to be noted that a breach of its bullish analysis may bring Cardano to trade near its 2022’s lows and challenge November’s price trend.
The second-largest crypto, Ethereum, has sustained above the crucial $1100 price level each time it drops amid the mounting bearish action. While the other assets including Bitcoin price plummeted by nearly 50%, ETH price marked new lows below $1000. While the current rebound is expected to reclaim the lost levels, the possibility of another leg down emerges.
The ETH price was trading within a decisive symmetrical triangle ever since the price trying hard to rebound from the crash led by the fall of the Terra ecosystem. Presently, the price volatility has dropped heavily and hence the asset is approaching the pinnacle by trading within a very narrow range.
However, as per the new trade set-up, the ETH price is believed to pull a massive leg down very soon.
The Ethereum price is now flashing extreme bearish signals in various time frames as the conditions are more favorable for state 2 expansion towards the south. In the higher time frame as the 3-week chart displays the possibility of a bearish divergence which may be ignited with the next upcoming candle.
Woefully, this is just 3 days away and hence the weakness behind the distribution phase may not be completely nullified.
As the ETH price is trading within the Wyckoff mode and about to begin the 5th wave of the consolidation, a slight sign of weakness may drag the price as low as $875 and $625. Therefore, the upcoming couple of weeks appear to be extremely crucial, as a notable price plunge may kick in if the bears regain their dominance over the asset again.
The crypto markets are turning greener as Bitcoin (BTC) prices continue to trade above $17,000. However, the bears continue with their attempt to maintain significant pressure that has compelled the price to remain within the consolidated range. Meanwhile, the short-term projections for Cardano’s (ADA) price are significantly bullish, as a rise beyond $0.33 is quite possible until the coming weekend.
The ADA price continues to remain under bearish captivity as the current bounce is witnessed as yet another lower high within a descending trend. A popular analyst, Benjamin Cowen, believes that Cardano may continue to drop significantly further. Cowen, in his new video, says that the bear-market resistance band is offering resistance from where the ADA price is facing constant rejections.
“The point that I’m trying to make here is that Ethereum in its first cycle, in its first major bear market, dropped around 95%, right? But ADA in its first bear market dropped almost 99%, right? It was like 98.75%. If ADA, say, does have diminishing losses or something in this bear market, and say instead of dropping 98%, you know let’s say it’s one cycle behind Ethereum, let’s suppose it drops 94% or 95%.
A 95% drop from the all-time high would put ADA between 10 and 20 cents, right? That’s where it would ultimately put it.”
The analyst believes the Cardano (ADA) price may bottom around $0.1 to $0.2, somewhere in 2023.
The entire crypto market has witnessed a sharp fall following unexpected events which caused catastrophic waves across the industry. Bitcoin has dropped below its two-year low of $18K and continues to remain in an uncertain price range.
Moreover, concerns regarding inflation and the results of the midterm elections have brought a mixed situation for the market’s future movement.
As Bitcoin investors dump their BTC holdings and exit the market amid an alarming trend, BTC continues to trade in a crucial price range to test long-term holders’ patience.
A Bitcoin Price Bottom Is Nearby!
The lack of concept and clarity about proof-of-reserves have become one of the main reasons in driving the recent collapse of FTX, which is responsible for vanishing a significant amount of BTC from its circulation.
According to a well-known crypto trader, DonAlt, the current rate of Bitcoin’s bearish trend makes a similarity to its previous bearish cycles.
The analyst analyzes that Bitcoin is currently almost 80% down compared to its 2014-2015 and 2017-2018’s bearish cycles, where the downward rates were 86.17% and 83.84%, respectively.
If Bitcoin follows its bearish trend of 2017-2018 and extends its rate of downtrend above 84%, then the BTC price can witness a bottom level at $11K.
Moreover, DonAlt further predicts that BTC may fall to $9.5K if it follows the bearish trails of the 2014-2015 cycle and increases its rate of downtrend above 87%.
A Breakout Above This Level May Spark Surges For BTC Price
Bitcoin is struggling to bring bullish hopes to its long-term holders as it faces hurdles in surpassing its resistance level at $17K.
Historical data of crypto crashes reveals that 14 exchanges were responsible for wiping 1,195,000 BTC from its circulation, which has created a scarcity in framing a stable bullish infrastructure for pushing Bitcoin’s price upward.
However, amid all these situations, investors are still accumulating Bitcoin, even in FUD, with a hope for a bullish breakout soon. Moreover, El Salvador’s president Nayib Bukele has announced plans to buy 1 BTC daily starting from 17 November.
Bitcoin trades at $16,662, with a downtrend of 0.27% from yesterday’s price. Looking at the daily price chart, SMA-14 is significantly dropping, and it is trading at 38-level, just above the RSI trend line, forcing Bitcoin to test its support level at $16,350.
Moreover, Bitcoin’s Net Unrealized Profit/Losses metric has seen massive volatility as it drops to its bottom zone.
However, the NUPL’s trend indicates a final capitulation, from which BTC price may initiate a bullish recovery, as witnessed in its previous bearish cycles.
A sustainable price movement above $17K may trigger the buying pressure, which can lift the RSI indicator above the 50-level. If BTC’s price holds its momentum between the EMA-20 and EMA-50 trend lines, it can aim for a breakout above its strong resistance at $20K.
The overall crypto market has lost its stability after the global crypto market cap has lost the $1 trillion mark. However, today the market seems to be slightly recovering after Bitcoin is trading $16K range pushing the market towards green. However, the cryptocurrencies are still far away from their crucial trading level.
While the crypto market tries to find some stability, the recession speculations still hover around the market. On the other hand, one of the most popular crypto analysts Michael van de Poppe in his new video tries to give us a brief picture of the current scenario and how evident is the recession.
Michael Van De Poppe : Recession Soon
Michael van de Poppe informs his 164K Youtube subscribers that how unhappy the citizens around the globe are, especially Europe, with a surging food prices. He gives an example of the Netherlands where there is the largest rate of change ever witnessed in terms of food which has led to decreased grocery shopping. He claims that the FAO or Food Price Index has plunged nearly 15% which has increased pressure on the end consumer and he expects it to grow even more.
Next, Van de Poppe points towards 2021 supply chain crisis and asserts that as per the recent data a few indicators are expected to give out pce number. The PCE number is nothing but the figure which shows how Americans are spending their money altogether on a monthly basis. This is the number which helps the Fed to know the inflation rate. The analyst gives out a chart which suggests that the domestic Freight rates are moving downwards.
The next sector that the analyst talks about is wages which is considered to be one of the weakest in the economy that can stand against increasing inflation. However, as per the chart he claims that the salary rate is dropping and inturn reducing the purchasing power. This scenario might further cause a decline in demand for goods and services along with food.
Lastly, Van de Poppe notes that though goods price is surging along with food price, there aren’t that good numbers made in sales. By this he means that inflation is about to see a massive drop giving rise to deflation. Hence he stresses how important it is to keep an eye on both inflation and deflation rates.
As the strategist concludes, he claims that for the economy to recover it is important for transportation of goods and services to rally. He also says that though inflation rates are decreasing, the Fed is continuing its hawkish stance. This is affecting the companies leading to decreased job openings.
The FTX-Alameda drama has sent a bearish shockwave to the entire crypto market, wiping nearly 20% of the total global crypto market capitalisation since FTX’s native token collapse.
Moreover, the recent withdrawal of FTX’s acquisition deal by Binance has created enough turmoil to build massive selling pressure for leading assets like Bitcoin, pushing it below the support level of $17K.
Bitcoin Shows Warning Signs Of A Bearish Trend!
The domination of bears has been further triggered amid the current market crash led by FTX’s native token FTT’s collapse.
The global crypto market keeps itself under massive selling pressure, forcing Bitcoin investors to liquidate their positions to avoid any upcoming sudden loss-making price fluctuation.
Additionally, the crypto exchange inflow saw a surge of over 5000 BTC in the last 24 hours, hinting at a panic situation among investors.
A prominent crypto analyst firm, Rekt Capital, predicted that Bitcoin might retrace more to the downside as it recently broke its support level, formed during the previous crash in June.
According to Rekt Capital, BTC’s recent breakout below its monthly support level of $17,400 could turn into a fresh resistance level in the BTC price chart if it witnesses more dips.
Any rejection from $17.4K will plunge Bitcoin to the immediate monthly support level of $14,000, slowly leading to a capitulation zone for BTC.
Moreover, BTC may follow its historical price correction as it can make a bearish price correction of 84.5% following its 2021 bearish cycle. In that case, the BTC price may make a low of $11K in the upcoming days.
The analyst further highlighted that the crash of a crypto exchange has historically brought bear cycles for Bitcoin, and this bearish trend of BTC is no exception following FTX’s demise.
Rekt Capital mentioned that seller exhaustion is one of the major factors in accelerating the downtrend as it said,
“Capitulation cannot take place in one take. When sellers are exhausted on a strong move down, it doesn’t take many buyers to promote a strong bounce. But when the bounce loses steam, sellers return to pile on the pressure.”
BTC Tends To End On A Bearish Note
After slipping to the lows of $15.5K, Bitcoin has been making a slow and steady upward rise following the positive consumer price index (CPI) data released by the U.S. Bureau of Labor Statistics.
Our technical analysis reveals that there may be further bearish momentum for BTC before skyrocketing by the beginning of 2023.
The RSI-14 is hovering around a range of 34, gearing up to take BTC to the next support level.
The Bollinger bands are also getting closer as the lower limit is at $15.8K, an immediate support level for Bitcoin.
If BTC price retraces below and trades near $15K, we can anticipate a further bearish trend which can head towards the next support level of $14.1K by the end of December.
The MACD line is dropping vertically, building a quick support region for Bitcoin below 23.6% Fib retracement from its current value.
However, a bullish comeback for Bitcoin is not happening soon as BTC will likely consolidate in a bearish trend till this year’s end before sparking a fresh surge in 2023.
The crypto market is currently haemorrhaging in one of the largest slumps faced this year, ignited by the battle between FTX and Binance this week.
The acquisition of FTX by Binance has led to one of the fastest and most impactful crypto market crashes, which has bled nearly $130 billion from the market cap in the last 24 hours.
Several cryptocurrencies are facing their worst trading sessions, whereas leading assets like Bitcoin and Ethereum plunge by 15%.
Ethereum Begins Its Trailer Before Plunging Hard
The global macroeconomic factors were not enough, as the collapse of the FTT token and Sam Bankman-Fried’s empire are now playing the leading role in marking a prolonged bearish impact on the crypto space.
The global crypto market is now trading at the lowest level since September as it has entered the final support zone. Most of the major cryptocurrencies are gaining pace to drop in value, and Ethereum is not behind in joining the race.
According to a prominent crypto analyst, CryptoCapo, Ethereum may get hit hard by the negative market sentiments and trigger a strong bearish momentum in the price chart.
CryptoCapo analyzed that ETH price may plunge hard as it has been making long bearish candles in the price chart since the market crash.
He predicted that Ethereum might reach a bottom price range of $700-$750 if it fails to hold its support level near $1,250.
Moreover, another crypto analyst, Justin Bennet, predicted that Ethereum might repeat its 2018’s bearish market trend, where ETH lost over 94% of its value, plunging from a high of $1,440 to a low of $86. The analyst mentioned,
“Reminder: The ETH bottom is probably closer to $300 than $1,000. The only thing that has changed is Ethereum being one step closer to its macro bottom. Just my opinion, as always.”
Ethereum May Reach Triple Digits!
Ethereum has been experiencing a stable bearish trend since September, and now the momentum is further accelerated by the weekly sell-off due to FTX’s demise.
According to CoinMarketCap, Ethereum is trading at $1,164 with a downtrend of 25%.
Looking at the daily price chart, Ethereum made a false breakout above the resistance level of $1,600 and significantly dropped to a low of $1,233 yesterday.
The Bollinger bands are forming a supportive region for Ethereum in the price chart as the lower limit is at $1,031, acting as a crucial support level.
The RSI-14 trend line has been making a vertical line downwards from a level of 61 to 32, showing that Ethereum may head toward $850 if the crucial support level breaks.
EMA-100 and EMA-200 are leaning downwards, hinting at an acceleration of ETH’s current bearish trend till it reaches the $1K mark.
However, Ethereum is anticipated to make a bullish recovery if it stabilizes its price after falling below $800. The Bollinger band’s upper limit will be at $1,134, a bullish target for Ethereum if it makes a bounce back near $1000.
The current downfall, followed by the collapse of FTX’s native token, may be a wake-up call for another crypto crash ahead.
Following the recent news of Binance’s acquisition of its rival crypto exchange FTX, several cryptocurrencies surged in the price chart yesterday but soon ignited a fresh bearish rally after witnessing extreme selling pressure due to panic among investors.
Currently, many cryptocurrencies are making long bearish candles, and the market cap has dropped by 10.85% in the last 24 hours, touching the $900 billion mark.
More Bloodbath For Crypto Market
The sudden market crash has surprised investors by wiping billions of dollars from portfolios at once, fading the hope of an upcoming bull run.
The current downtrend of leading assets has worried investors about their predicted short-term goal by the end of December as Bitcoin has broken its crucial support level at $18K with a downtrend of 11%, and Ethereum dropped below by a whopping 18% in the last 24 hours.
The current negative sentiments have drawn the attention of crypto analysts and strategists in providing the next price movement as a prominent crypto expert, Michael Van De Poppe, who is the founder of Eight Global, predicts that the current bloodbath of the crypto market will extend further depending on news and its impact.
According to him, the recent crypto market crash is impactful enough to plunge Bitcoin’s price below $10K in the upcoming days.
However, there is a high possibility that the BTC price may soon reach a bottom price range of $12K to $14K.
If you are planning to invest in the dip, the analyst suggests investing in small incremental amounts regularly (DCA) rather than shorting positions now.
How Far Bitcoin’s Price Can Plunge?
FTX’s native token, FTT, is solely responsible for causing this massive crypto crash as FTX’s insolvency and buyout created an extreme selling and panic among investorst, leading to massive withdrawals of funds from crypto exchanges to avoid upcoming unexpected price fluctuations. The FTT token is currently down by 72%, with a current value of $4.5.
The daily price chart of BTC is not promising, as it is poised to bring another death dance for the crypto industry after its collapse in May.
According to CoinMarketCap, Bitcoin is currently trading at $17,550 with a market cap of $337.5 billion. Bitcoin has recently touched its support level of $17.5K, which was formed back in June.
The RSI-14 indicator has dramatically dropped from a level of 64 to 30, hinting at a highly volatile market trend downside. The MACD line is also retracing downwards quickly to plunge the BTC price more.
Following the recent acquisition of FTX by Binance, BTC made a fake breakout between a resistance zone of $20.5K to $20.8K.
The next support level for Bitcoin is $16.3K, where the Bollinger band’s lower limit is placed. BTC will likely break its support level in the next few days and trade below the price level of $13K.
However, it can bounce back from this price level as the accumulation rate of BTC is increasing exponentially in the dip, which may push its price above the resistance level of $16K by the end of December.
The last month brought a bullish recovery for several cryptocurrencies, including Bitcoin, as it held its price in positive territory by gaining 5.89% in its value.
However, the Federal Reserve’s decision to increase interest rate by 75 basis points to control inflation ignited a fresh bearish start for BTC price by the beginning of November.
Several traders and investors are now wondering about Bitcoin’s future price movement amid negative market sentiments.
Bitcoin Reaches The Final Resistance Zone!
As November begins, crypto analysts and strategists around the space have become busy giving their opinions and predictions on the future road of the crypto market.
A prominent crypto analyst, CryptoCapo, conducted an in-depth analysis of BTC’s previous price movement in 2022 and predicted that Bitcoin is all set to form a lower high before plunging hard to the bottom level.
According to him, the Bitcoin price movement has made a falling resistance pattern since July.
CryptoCapo predicts that the current resistance point has entered the final capitulation zone as BTC will likely make another resistance at $21.4K and witness a sharp decline below the price of $16K by the end of next week.
Moreover, another crypto strategist, Cyploss, analyzed that BTC’s weekly RSI level is forming a falling pattern, hinting at a sharp price drop for Bitcoin by next week.
Where Is Bitcoin Heading Next?
Bitcoin has gained the spotlight in terms of price fluctuation in the last 24 hours as it shows hope of upward momentum after ending its descending triangle pattern.
According to CoinMarketCap, Bitcoin is currently trading at $21,284 with an uptrend of 3.41%.
Looking at the daily price chart of Bitcoin, BTC recently broke its immediate resistance level at $21K and is continuing to trade upwards.
Bitcoin has made a strong bullish candle near the EMA-100 trend line, hinting at further bullish momentum in the price chart.
The RSI-14 is hovering around a strong overbought region at 64-level, which can bring a rejection for Bitcoin and slump it hard to the bottom level.
Moreover, the MACD line is now gaining pace and entering a bullish divergence zone for Bitcoin’s price.
The Bollinger bands are also forming a wide gap in the BTC price chart as the upper limit is at $22.4K, and a breakout above it may lead Bitcoin to its major resistance level of $25K.
Conversely, the Bollinger band’s lower limit is at $20.7K, acting as an immediate support level in determining Bitcoin’s future price movement.
Our technical analysis for Bitcoin reveals a possibility of a bearish trend if BTC fails to hold its uptrend and drops below $20K, which can bring new lows for Bitcoin by the end of this month as it can trade near the bottom of $18K.
It is to be noted that the recent upward trend might be a trap of whale investors by moving huge funds amid the effect of the CPI data on the crypto market, leading to a pump-and-dump situation.
Investors are advised to do their own research before investing in the current volatile situation, which can erase all the funds.
This week has been excellent for the entire crypto market as the most dominant cryptocurrencies registered a significant gain in the price chart.
The crypto market made over 9% in return, pushing its market capitalization to the level of $1 trillion again. Some crypto assets made an overwhelming performance as Ethereum has surpassed its big brother Bitcoin in terms of ROI (return on investment).
However, Ethereum may soon bring some bearish woes as it can trade below $800 if it faces a strong rejection ahead.
A Strong Price Dip Coming?
A sudden surge in several crypto coins’ prices in the overall market bearish trend has confused investors in getting a clear trend path of Ethereum as ETH continues to make a high fluctuation in the price chart.
A prominent crypto analyst, CryptoCapo, predicts that Ethereum may soon witness a sharp downfall in the price chart as it recently faced rejection from a range of $1,600 to $1,650.
According to the analyst, Ethereum may make a slight upward retracement to $1,700, where ETH will likely face a strong rejection.
Ethereum may be projected to initiate a sharp bearish trend if it makes a long bearish candle at its key resistance of $1,700.
The analyst further noted that the ETH price might trade in a bottom range between $700-$800 by the beginning of December.
However, CryptoCapo gave some ray of hope to investors as Ethereum may become bullish by the end of December, reaching a price range of $1,150.
Ethereum Trades In Critical Zone!
Since the Ethereum Merge event, the selling pressure of Ethereum has declined as
Grayscale stated, “Without the constraint of miner sell pressure, ETH’s price is now potentially more exposed to larger positive movements.”
According to CoinMarketCap, ETH is currently trading at $1,560, with a downtrend of 0.73% from yesterday’s price.
Looking at the daily price chart, Ethereum made a bearish candle after facing rejection at $1,600 level and dropped to its current price level of $1,560.
ETH price tested its resistance at 61.8% Fib retracement level but failed to hold its price and dropped below 100-SMA (simple moving average).
Our technical analysis reveals that Ethereum may witness a slight upward trend before going for a bearish momentum as the RSI-14 trends at 62-level, indicating a bullish territory for Ethereum.
To elevate the current bullish trend, Ethereum needs to break its Bollinger band’s upper limit at $1,670 and hold its price above it. If this scenario plays out, Ethereum may move to its next resistance level of $1,760.
However, the above bullish analysis may fail if Ethereum drops more by market sentiments. The BoP (Balance of Power) indicator trades in a negative zone at 0.32, representing a bearish sign.
The Bollinger band’s lower limit is at $1,468, which is an immediate support level in the price chart. If this support level breaks, Ethereum may extend its bearish trend and again trade below $1,300.
The crypto winter seems to be fading after long tears and tantrums that began in May as the market made a significant bullish season in October. Bitcoin went on to touch its monthly highs as it broke the fundamental resistance level at $20K.
BTC is trying to regain its old glory by showing positive signs of recovery as the digital asset added nearly $30 billion to its market cap and increased its value by 8% in ‘Uptober’.
However, the upcoming Federal Reserve FOMC meeting scheduled for tomorrow may bring some bearish woes for Bitcoin as it may again form a bottom in the price chart.
Recently, on-chain data provider and analyst firm, Glassnode has published their weekly on-chain data of Bitcoin, hinting at an extended bearish trend for Bitcoin.
According to Glassnode’s weekly report, specific metrics indicate the in-depth comparison of BTC’s current bottom movement with its previous cycles.
To confirm this bearish analysis, two indicators were utilized: Realized Price and Mayer Multiple, while the former calculates the average acquisition per coin and the latter measures the ratio of the coin’s current price to its 200-day SMA (simple moving average).
The Realized price helps in identifying the unrealized loss of the total market if the spot price trades below the calculated Realized Price, which indicates an overall bearish trend of the specific coin.
The Mayer Multiple presents two market conditions: overbought and oversold. The analyst noted that Bitcoin maintained a Mayer Multiple value below 0.6 in its previous cycle lows.
Glassnode stated, “Remarkably, this pattern has repeated in the current bear market, with the June lows trading below both models for 35 days. The market is currently approaching the underside of the Realized Price at $21,111, where a break above would be a notable sign of strength.”
Looking at 2018’s Bitcoin bear market, it makes similar price trends and patterns in 2022. Bitcoin’s 200-week exponential moving average (200-week EMA) plays a similar game in 2018 and 2022 as BTC initiated a long-consolidated movement after its price traded below the 200week EMA.
Bitcoin’s Current Bearish Trend To Last Longer
To determine the upcoming potential consolidated range of Bitcoin’s bearish market trend, Glassnode conducted another metric which is the Balanced Price, representing the difference between the transferred price and realized price.
According to analysis, BTC may trade in a range between Realized Price’s upper limit at $21.1K and Balanced Price’s lower limit at $16.5k.
Glassnode noted that BTC previously kept its price below 0.6 for 5.5 to 10 months while in a bearish trend.
The current downtrend is only three months old, while in the 2014 and 2015 bear markets, BTC stayed in a range-bound bearish zone for ten months, and in the 2018/2019 bear market, the bearish range lasted for 5.5 months.
Therefore, it is anticipated that the current downtrend will extend further and trade in this range a bit longer before making any bullish reversal.
The UTXO Realized Price Distribution (URPD) represents the total distribution supply of a specific acquisition price. Glassnode analyzed that BTC price registered a UTXO of 22.7% of the total supply when the price made a low below the Realized Price upper limit in 2018-2019.
Comparing this data with the current price movement, BTC is poised to drop more as the UTXO is just 14%. The analysis suggests that “further redistribution is needed”, which will push Bitcoin to new lows in the upcoming months.
Glassnode said, “It does not appear that the bear-to-bull transition has formed as yet, however, there does appear to be seeds planted in the ground.”
This week might be interesting for Bitcoin to watch its price levels as the upcoming FOMC meeting will play a vital role in driving its price further.
In the last few days, Bitcoin registered a significant spike due to the US stock market’s upward movement with 3.4% gains and the S&P 500 index’s rise to its maximum levels in 44 days.
However, Bitcoin is poised to witness a bearish momentum soon after forming another top in the price chart.
BTC Price Bottom Is Around The Corner!
This week will act as a critical factor in determining BTC’s further price movements, as several macroeconomic events will play a significant role in the fluctuation of Bitcoin’s price.
A popular crypto analyst, CryptoCapo, predicts that Bitcoin may initiate a fresh downward rally after forming a triple top in the price chart.
Last week, Bitcoin formed a double top at $21.1K and faced rejection. According to the analyst, Bitcoin may again make a top at $21.2K and create a triple top pattern in the price chart before witnessing a sharp fall.
Bitcoin is expected to reach $21.2K by the next week and may face rejection and initiate a sharp fall. CryptoCapo predicts that Bitcoin can touch a low of $20K if it fails to trade above the expected price level.
The analyst gives an ultimate bearish confirmation for BTC if it makes an upward retracement above $19.8K and makes a bearish candle at $20K.
This price movement can plunge Bitcoin hard to new lows as BTC may trade below $14K by the end of November.
To the above analysis, several crypto strategists have responded positively as they predict the exact price movement for Bitcoin.
Another crypto analyst, Toni Ghinea, predicted that Bitcoin might rise to a maximum price range of $22K to $24K before dropping to a low of $11K to $14K by the end of 2022. However, BTC may initiate a fresh bullish rally to $30K in Q1 of 2023.
Can BTC Spark A Short-Term Surge?
BTC has been struggling to continue the bullish rally it initiated in October as it trades in a consolidated range near $20K.
BTC’s price made a downward retracement when it failed to break the $21.1K price level last week. According to CoinMarketCap, Bitcoin currently trades at $20.4K with a minor uptrend of 0.26%.
Looking at the daily price chart, the 100-day EMA is acting as an obstacle as it trades at $21.1K, which pushed Bitcoin to the downside. The RSI indicator also dropped from a level of 62 to 57, hinting at a high probability of a bearish trend.
The Bollinger band’s lower limit is at $19.9K, an immediate support level where EMA-20 is trading. If BTC retraces below this support level, it may trade as low as $19.3K.
However, the MACD line brings some promises as it continues to trade in a positive territory. The Bollinger band’s upper limit is $21.6K, above which Bitcoin may aim for the EMA-200 price level at $25K. To initiate a short-term bullish momentum, BTC needs to trade above its 23.6% Fib retracement and hold its trend.
The extended crypto winter has created turmoil for Bitcoin in the price chart as it continuously trades in a consolidated range below $19.6K.
Therefore, monitoring the on-chain activity of leading digital assets like Bitcoin is essential to better understand the crypto market’s sentiments. Furthermore, the policies made by the Federal Reserve (FED) mark a significant factor for Bitcoin’s further price momentum.
Therefore, the upcoming FOMC meeting on 2 November will be vital for the stock and crypto markets as both are interconnected. Furthermore, there is an internal risk also as the bitcoin mining difficulty soars over 3% to make an all-time high.
Bitcoin Mining Difficulty Continues To Attain New Highs!
The bearish trend of Bitcoin has brought tough competition to Bitcoin miners as the mining difficulty jumps by 3.44% and hits an all-time high of 36.835 trillion hashes.
However, the latest spike is not as significant as the previous one, as the mining difficulty increased by 13.55% on 10 October.
The difficulty of mining bitcoin depends on the computational power needed to mine one bitcoin. The network fluctuates hash power, making it harder or easier to mine a block every ten minutes.
The recent spike in mining difficulty indicates further adjustments to the network, creating more pressure on Bitcoin miners to continue their same mining profitability.
Will Clemente, the co-founder of Reflexivity Research, said, “Miners are the biggest intra-Bitcoin market risk right now IMO.”
According to him, this is a pre-planned steady rise, and a well-funded player is controlling it to eliminate inefficient miners from the network and buy their assets at a cheap rate, “Rockefeller-style”.
He added that the increasing mining difficulty might lead to miners’ capitulation, where small-cap miners would be forced to sell off their Bitcoin holdings and mining hardware.
This incident could trigger high selling pressure in the Bitcoin price chart, which might lead to increased volatility and a significant loss. Clemente said that the tendency of a second miner capitulation is getting an inch closer every day after June.
He added, “Thinking about who this entity(s) is that feels that it’s advantageous to mine with BTC price down 70%, energy prices high, & hashprice at all-time lows.
Wonder if its a large player(s) with excess energy or access to dirt-cheap energy. Miner margins are so compressed right now, and it isn’t a great time to be mining on a short to mid-term basis.”
Industrial Bitcoin Miners To Struggle
The increase in Bitcoin mining difficulty may bring some trouble for big industry players in generating their expected revenue.
Dylan LeClair, a senior analyst at UTXO Management and co-founder of 21stParadigm, highlighted that miners’ revenue per TeraHash has made a low since 2020.
He mentioned that he had heard some juicy rumors about some big names in Bitcoin mining facing troubles due to mining difficulties.
The current mining pressure may end up in two scenarios.
LeClair stated, “This is the bottom. The lack of vol shows apathy from sellers. Extended consolidation/accumulation period, or we are at 6k level in 18/19. Hash rate continues to soar, increasing pressure on miners until ultimate puke.”
The next report on mining difficulty may come on or after 6 November, and there are nearly 79.9K blocks which are left to be mined until the next block subsidy halving.
The worst-than-expected CPI data has caused Bitcoin to experience massive volatility on 13 October. Several prominent crypto strategists and analysts have already predicted the future prices of Bitcoin.
At the same time, some analysts predict a bullish note as Bitcoin can see a short-term bullish rally again. Toni Ghinea, a famous crypto analyst, now indicates that Bitcoin is ready to initiate a mini-bull run before bottoming by the end of 2022.
Bitcoin Is Under Bull Trap!
Bitcoin has been continuously trading in a consolidated zone near the $19K price level, and it may soon form a short-term bullish momentum, predicted by a crypto analyst.
Toni Ghinea, a significant crypto strategist, who predicted that Bitcoin would drop below $10K by the beginning of Q1 of 2023, now forecasts that the crypto king is poised for an upward jump before initiating a downtrend in the price chart.
According to his recent tweet, Bitcoin is forming a falling triangle pattern, which indicates a resistance level at a price range of $22K-$24K. Bitcoin is projected to reach this price range by the end of October before starting its bearish journey.
The analyst further predicts that this bullish trend may be short-lived as BTC price is expected to drop significantly to a price zone of $14K-$16K by the end of December.
Toni predicts that BTC may have a considerable price recovery by the beginning of 2023 as it can touch a maximum price level between $28K to $30K.
For June 2023, Toni further predicts that Bitcoin may again have a significant price drop, touching the bottom line between a price range of $10K to $12K.
However, he looks bullish for the rest of 2023 as BTC can have a smooth bull run which will stretch to 2024, hitting a trading price of $26.5K.
What Is Bitcoin’s Technical Analysis Saying?
Bitcoin investors may get relief as Bitcoin is showing a short-term bullish momentum. According to CoinMarketCap, Bitcoin is currently trading at $19,136 with a downtrend of nearly 1%. However, the candles on the Bitcoin price chart may soon turn green as it can attempt to break the price level of $20K.
EMA-50 is currently at $19.8K, acting as an immediate resistance level for Bitcoin. If BTC successfully breaks this level and holds its price above it, it can soon make an upward target of $22K.
SMA-14 line trades near 47-level, hinting a stable price momentum for now. However, the MACD line is approaching its trend line, which shows that Bitcoin may soon have a breakout to the upper side.
Conversely, the Bollinger band’s lower limit is at $18K. If the bullish analysis fails, Bitcoin price can drop below $17.5K and may continue to plunge until December.
The RSI-14 indicator is not impressive as it continuously declined and reached 44-level. If Bitcoin comes over any negative news, its price may have a sharp fall and get to the predicted $10K level in no time.