Most cryptocurrencies had one of their worst performances in previous weeks. Most of these assets lost a huge chunk of their value at the time. This fall had a substantial effect on the value of the entire crypto market.
During the abrupt decline in value, the industry lost more than 5% of its value. At $1.04 trillion, it was at its lowest during the seven-day session. This bearish action took place over the weekend and in less than 4 hours. It opened Saturday at $1.1 trillion on that day but fell to the bottom, marking a more than 5% decrease.
Despite a small recovery, the decrease in the value of major assets affected the market’s weekly outlook as it finished Sunday at $1.06 trillion. This indicates that it lost more than 6% from its $1.15 trillion opening price.
A significant selloff from a whale is the obvious perpetrator, notwithstanding the claims of many people who say they do not understand what prompted the dramatic change in sentiment and trajectory. This happened as a result of a well-known whalewatch’s report a few days earlier that Robinhood intended to sell bitcoin worth more than $1 billion. The result was a reverberating event.
The majority of the assets are still in danger, according to a thorough analysis of trade activity at the time of writing. By creating new support systems or maintaining an old one for the long term, some people are exhibiting immense potential, though. Consider how these currencies might perform this week.
Top Three Cryptocurrencies to Watch
1. Bitcoin (BTC)
During the previous week, Bitcoin lost more than 4%. This marks the second week of consecutive losses for the asset after losing more than 3% the session before. However, the weekly scale does not fully cover key events that took place. Let’s see them.
The apex coin went started the previous week at $27,114. Following that, it saw a dramatic decline in price and lost numerous levels. As a result, it hit a low of $25,389. Nonetheless, it rebounded and gradually edged to $26k but was unsuccessful and closed at $25,739. The closing price implies that the cryptocurrency had a decline of more than 5%.
On Tuesday, BTC surged past all of the levels it lost the previous day and peaked at $27,236. In the end, the asset climbed by more than 6%.
Following this hike in price, many expected more increases. However, this never happened as Wednesday was another bearish period for the asset. The apex coin lost more than 3% and dropped to a low of $26,140.
A look at the daily chart points to the fact that bitcoin was relatively stable until Saturday. This massive change affected most cryptocurrencies which suggest that the crypto market was largely bearish. As a result, BTC broke the $25k support and dropped to a low of $25,420. Although it recovered, it closed with losses of more than 3%.
With a focus on the new week, the apex coin is gearing up for another massive move. A clear indication of this is the Relative Strength index. It is currently stable above 40 and held this position for more than 48 hours.
The direction of the move is also unclear as indicators like MACD are silent. However, based on the previous week’s performance, BTC is gaining a lot of demand concentration at $25,400. This is an indication of a developing support. As such, the top cryptocurrency may not drop below this mark within the next five days.
The $27k resistance is one of the crucial levels to keep an eye on near the top. This week, BTC might take it back.
2. Ethereum (ETH)
Like most cryptocurrencies, ETH is also grappling with the effects of previous losses. During this period, it registered its biggest loss since April. It lost more than 7% during the previous intraweek session.
Like most cryptocurrencies, ETH had a bad start to the session under consideration. Monday kicked off with prices at $1,891. However, it saw an increase in selling pressure that saw it dip to a low of $1,775. Although it recovered, it closed at $1,752 which signified losses of more than 4%.
Another major drop happened on Saturday. it kicked trading at $1,739 but retraced and retested a key support. It attempted the $1,600 barrier but failed as buying volume increased. Due to this, it closed at $1,651. This was also its biggest loss of the week as it lost more than 5%.
With a focus on the next five days, ETH is gearing up for a major push. It’s hard to determine the direction of this push as indicators are silent. However, due to price action over the last 40 hours, RSI decline is gradually coming to an end. It is currently close to 40 which may point to an impending price increase.
On the other hand, price performance over the highlighted period is worrisome. Ethereum failed to record any massive or notable change in value. This may also be an indication of more downtrends ahead. If this happens, the apex altcoin may drop to levels it hasn’t over the last three months.
3. Solana (SOL)
Solana also suffered big losses the previous week. It decreased by more than 28% when it reached the levels it left in January.
SOL’s price decreased to $13. The session started at roughly $21, but due to the intense selling, it dropped to the low. Nevertheless, it recovered and ended the day at $15, with the trend of several indicators altering a few times. They include MACD. There is currently a bearish divergence, which could signal future price declines.
The market is still on a decline. A strong proof of this is provided by price fluctuation over the prior 40 hours. Solana didn’t record any major gains during this period. The Relative Strength Index offers some positive news.
SOL is currently oversold which may indicate an impending reversal in market trends. If this happens, the altcoin may reclaim lost levels.
