HBAR is on the rise following its significant increase during the previous day. The registered notable increases as trading volume.
The crypto market is off to a good start as the global cryptocurrency market cap slightly increases. Let’s examine the top five cryptocurrencies to watch
BTC/USD
Bitcoin experienced a significant downturn just a few hours ago, reminiscent of previous trading sessions influenced by Microstrategy’s buying activity, which elicited a bearish market response. Following the announcement of this acquisition, Bitcoin retraced sharply, hitting a thirty-day low of $91,315.
However, despite this initial plunge, the cryptocurrency managed to rebound, trading above its opening price due to a wave of buybacks initiated by investors looking to capitalize on the dip.
Onchain indicators provide insight into the mounting buying pressure, which appears to be stronger today compared to the previous day. Although the Coinbase premium continues to reflect negative sentiment, it has shown marked improvements, suggesting a potential shift in investor attitude.
Additionally, there’s speculation that U.S. investors might be strategizing for a rally leading into the New Year. Similar positive trends are also visible in the Korea premium, although exchange-traded funds are facing increased outflows during this period.
The trend in exchange reserves has taken an upward trajectory, following a pattern where more traders are opting to ‘dump’ their holdings. Over the past 24 hours, exchange reserves have risen by 0.16%, even in light of Microstrategy’s substantial purchase.
This points to a growing trend where investors are transferring more assets from cold storage wallets to active trading platforms, as reflected in CryptoQuant’s data, which indicates that the volume of transferred assets is nearly ten times higher than it was last Sunday.
Despite these movements, there remains a prevailing sense of fear, uncertainty, and doubt (FUD) regarding Bitcoin’s future price action. Technical indicators on the one-day chart indicate a bearish trend overall.
For instance, the moving average convergence divergence (MACD) continues to decline, suggesting that downward momentum persists, albeit with some minor upticks. Conversely, the relative strength index (RSI) seems to indicate that the bulls are gradually building momentum, having seen a slight increase over the past 24 hours.
Given the recent retracement to $91,000 followed by a rebound, some analysts speculate that this dip could be the last significant one for 2024. There is potential for Bitcoin to surge again, particularly if it can breach the critical 23% Fibonacci retracement level at $96,000, which could signal a further upward trajectory for the apex coin. Investors will be closely watching these levels as market sentiment continues to evolve.
ETH/USD
The Ethereum ecosystem continues to remain vibrant, with an increasing number of investors actively exploring various components of the network. Over the past 24 hours, the total locked value has seen a slight decline; however, both transaction volume and revenue have experienced an uptick.
On-chain data indicates a struggle with significant bearish sentiments, particularly evidenced by a rise in exchange reserves, which increased by 0.11%. Additionally, there has been a notable shift of assets from off-exchange reserves to trading platforms, showing a doubling effect. Despite these bearish indicators, buying pressure appears to be intensifying, as suggested by price movements.
Traders from different regions are increasingly optimistic. In the United States, buying pressure has notably strengthened compared to the previous day, while the premium observed in the Korean market also reflects this trend.
Analysis of the one-day chart using the moving average convergence divergence (MACD) suggests that the ETH/USD pair is poised for a potential positive shift. The decline of the 12-day exponential moving average (EMA) is decelerating as buying pressure continues to grow. If this bullish trend persists, the pair may be able to reclaim the $3,500 threshold.
SOL/USD
The Solana ecosystem experienced notable inflows on Monday, with over 7.55 million SOL entering the market and revenues reaching 8,430 SOL. Additionally, the total value locked in the ecosystem saw a slight increase over the last 24 hours, now standing at 45.2 million SOL.
In terms of market performance, the SOL/USD pair initially dipped below the support level at $190, finding a rebound at $185. The pair subsequently rallied, reclaiming the lost support and peaking at $196. It then returned to the previous day’s high, indicating potential for a breakout from its seven-day high.
As of the latest analysis, the MACD indicator is showing positive momentum, with the 12-day EMA converging with the 26-day EMA. This suggests the possibility of a bullish divergence in the coming days, which may indicate further upward trends for the asset. The RSI is currently at 44, slightly above the previous day’s reading.
Presently trading above the 61% Fibonacci retracement level, there’s potential for the asset to continue its ascent, possibly testing the 50% Fibonacci level around $203. Historical price movements indicate that it may attempt to breach the $220 mark later this week, should it successfully navigate past the current thresholds.
HBAR/USD
Hedera’s performance in the last intraday session has been marked by a notable decline of over 5%. The asset experienced a retracement from its previous level of $0.30 down to a low of $0.27, effectively erasing the gains that had been achieved on Saturday.
However, as of now, the trading volume for Hedera has seen a significant increase, suggesting heightened investor interest and activity in the market. Remarkably, the asset has surged by over 20% in the last 24 hours, indicating a potential shift in momentum.
Current market conditions reveal that a majority of the trading volume is being driven by bullish sentiment, which is a promising sign for investors. The HBAR/USD trading pair managed to recover from a dip that brought it down to $0.26 earlier in the day.
It is now trading above its opening price, having reached a high of $0.29 before settling at $0.28. Analysis of the relative strength index (RSI) indicates a growing buying pressure, currently trending at 54, which typically suggests further upward potential.
Examining previous price movements and trends, it appears that the HBAR/USD pair may experience additional increases following its recent rebound from a key support level. The asset has consistently tested the $0.30 mark, which indicates that there could be a significant turnaround in price action this week.
Market watchers anticipate that Hedera may soon retest the $0.34 resistance level within the coming days, should the positive momentum continue. This price action would likely encourage further bullish sentiment among traders.
WIF/USD
Dogwifhat is showing signs of a potential breakout, highlighted by a significant 60% increase in trading volume over the past 24 hours. After experiencing a decline, the prices have notably recovered. The memecoin fell from $1.92 to a low of $1.81, marking a nearly 5% loss during that period.
Despite facing considerable selling pressure earlier in the day, Dogwifhat rebounded from a low of $1.77 and is currently trading at $1.89, representing an increase of over 3%. Several technical indicators are now showing bullish trends, suggesting the possibility of further price increases ahead.
At this moment, the moving average convergence divergence (MACD) is providing positive signals. The 12-day exponential moving average (EMA) is nearing the 26-day EMA, indicating that a bullish divergence may occur in the coming days, which could lead to additional upward movement for the asset. The relative strength index (RSI) is currently at 44, slightly higher than the previous days’ readings.
Additionally, Bollinger bands indicate that the WIF/USD pair is trading around a crucial level. There is potential for the pair to surge, possibly breaking its seven-day high of $2. A continued upward trend may enable the pair to test the $2.20 resistance level.
