Bitcoin and Altcoins Attempt to Recover After Significant Crash
- Bitcoin price tumbled more than 50% before it found support near USD 4,000.
- Ethereum even spiked below USD 100 and XRP tested the USD 0.118 support area.
- The crypto market seems to be recovering, but it could face a lot of hurdles.
The past 3-4 sessions saw a significant drop in bitcoin price from well above USD 8,000 to well below USD 5,000. BTC/USD lost more than 50% and even tested the USD 4,000 area. The price is currently (09:00 UTC) recovering above USD 5,000, but there are many resistances waiting on the upside.
Similarly, most major altcoins nosedived between 30%-50%, including ethereum, XRP, litecoin, bitcoin cash, BNB, EOS, TRX, ADA, and XLM. ETH/USD broke the USD 165, USD 150 and USD 120 support levels. Besides, XRP/USD fell sharply below the USD 0.180 and USD 0.150 support levels before the bulls appeared near USD 0.120.
Total market capitalization
After a daily close below USD 7,800, bitcoin price started a strong decline. BTC/USD tumbled more than USD 4,000 and tested the USD 4,000 and USD 3,950 levels. It is currently recovering losses above USD 4,500 and USD 5,000. An initial resistance is near the USD 5,500 level, above which the price may perhaps test the USD 6,200 resistance area.
If the price fails to correct above USD 5,500 or USD 6,200, it is likely to resume its decline. An initial support is near the USD 4,800 level, followed by the USD 4,400 level.
Ethereum price followed bitcoin and declined more than 50%. ETH/USD tumbled below the USD 150 and USD 120 support levels. It even spiked below USD 100 before it found support near USD 90. The price is currently correcting above USD 120 and it might soon test the USD 130 and USD 142 resistance levels.
On the downside, an initial support is near the USD 110 level, below which the price is likely to retest the USD 100 support level in the near term.
Bitcoin cash, litecoin and XRP price
Bitcoin cash price nosedived below the USD 250 and USD 240 support levels. BCH/USD even spiked below the USD 150 level and tested USD 130. The price is now recovering and it is trading above the USD 150 level. On the upside, the previous supports near the USD 185 and USD 200 levels are likely to act as hurdles for the bulls.
Litecoin fell below the USD 40.00 and USD 32.00 support levels. LTC/USD found support near USD 24.00 and USD 25.00. It is back above USD 30.00 and it could rise towards the USD 36.50 and USD 38.00 resistance levels. The main resistance is seen near the USD 40.00 level.
XRP price settled below the USD 0.200 and USD 0.180 support levels, sparking a nasty decline. The price crashed below USD 0.150 and it even spiked below USD 0.120. It is now correcting higher, but the USD 0.155 and USD 0.162 levels are likely to act as key resistance levels for upside continuation.
Other altcoins market today
In the past three sessions, almost all small-capitalization altcoins declined more than 50% and are currently recovering, including AE, MKR, IOST, BSV, NANO, ONT, MATIC, HOT, ZIL, STEEM, BNB, and QTUM.
The overall price action is very bearish and the current recovery in bitcoin is likely to face barriers near USD 5,500 and USD 6,000. If the price resumes its decline, the main support is seen near the USD 4,200 and USD 3,800 levels.