From yesterday’s high at slightly above $128B the evaluation of the cryptocurrency market capitalization has decreased by around 8 billion dollars in evaluation as its 119,246,000,000 at its lowest point today.
- Market Cap: $120,248,294,835
- 24h Vol: $14,792,684,770
- BTC Dominance: 54.7%
Looking at the global chart you can see that the evaluation has started putting downward pressure on the support line from the triangle in which it is but we cannot still say that a breakout occurred even though the evaluation is looking like it is retesting the prior support for resistance and it looks like the resistance was found. Not until we see a movie with a higher volume and volatility.
Consequently, the market is in red with an average percentage of decrease among the top 100 coins ranging between 3-10%. Biggest losers are in double digits and the biggest are around 15-16% like Binance Coin and Bitcoin Cash.
Bitcoin’s market dominance has increased by 0.84% from yesterday’s open as the market confidence diminishes.
Bitcoin Price Analysis BTC/USD
From yesterday’s open at $4003.9 the price of Bitcoin has fallen by 6.22% and is currently sitting at $3768.
Looking at the hourly chart you can see that the price is back on the levels of the prior low like it was expected. Judging by the current candles you can see that both buyers and sellers are aggressive and it is still unclear whether the level will serve as support. As you can remember from my analysis I am expecting an increase after this descending channel ends so this might happen now if the prior low level serves as a support.
If the level gets broken I would expect it to go to the baseline support which is the black bold line below. If the price goes falls to $3500 that won’t come as a surprise either but the target for the expected increase would be lower then the prior once which was at 0.236 Fibonacci level.
The most optimal scenario would be that the price falls a bit further down to the baseline support around $3622 before the upward move begins.
Zooming out to the 4-hour chart you can see my Elliott Wave projection and according to it this descending channel is the second wave X which means that soon another Y wave should start developing to the upside, but as the corrective Y wave ends on the upside it would be expected that the price continues its downward trajectory.
This is why I don’t believe that the price will go significantly lower from here, but instead, it will go up at first before falling down again most likely to the most significant support level so far and that is slightly below $3000.
Zooming out further onto the daily chart you can see the significance behind the level.
It was the resistance from the range in which Bitcoin’s price was in July last year and when the price broke its resistance it continued its massive momentum to the upside. This was the key resistance level at the time and as the $3000 level is a psychological level as well it will serve as strong support
Bitcoin’s hourly chart technical are signaling a strong sell.
The price of Bitcoin is in decline at the moment but as my analysis points out we aren’t going to see a straight downfall from here like we did last time. With the current daily candle being a doji indicating equal pressure from both sides we are yet to see how it will close.
But I believe that it will close a bit lower than the current levels and end up much like it did on 27th of November.
The post Crypto Market Update: Equal Pressure from Both Sides (BTC Price Analysis) appeared first on Blockonomi.