Bitcoin and Altcoins Move Into Bearish Zone
Bitcoin price nosedived and broke the USD 6,400 support. Ethereum also cleared a crucial support at USD 450 to move into a bearish zone. Most altcoins are down between 5% - 20% and are trading in the red zone.
Yesterday, we discussed that bitcoin must stay above the USD 6,500 support to recover. However, BTC/USD failed to hold the stated support and declined sharply. It dragged all major altcoins lower like ethereum, ripple, bitcoin cash, EOS and litecoin. The market moved into a bearish zone and there is a risk of further declines if sellers remain in action.
Bitcoin price broke a few key supports during the recent decline, including USD 6,500 and USD 6,400. BTC/USD tested the next important support at USD 6,250 and it is currently trading in a range.
If the price resumes its slide and breaks the USD 6,250 support, there could be a sharp downward move towards USD 6,000. On the flip side, if the price recovers from the current levels, the broken supports at USD 6,400 and USD 6,500 are likely to act as hurdles for further gains.
Ethereum price was under a lot of bearish pressure as it dropped by more than 5% and cleared a crucial support at USD 450. ETH/USD traded towards the USD 425 level and is currently (UTC 08:20 AM) consolidating losses near USD 430.
If there is a downside break below USD 425, the price may perhaps test the USD 405 low. On the upside, resistances are sitting near USD 440, USD 450 and USD 455.
Bitcoin Cash and Ripple
Bitcoin cash price settled below the USD 700 support, which is a bearish sign. BCH/USD may continue to move down towards the next support at USD 650. If there is an upward correction, the pair could face hurdles near USD 700 and USD 720.
Ripple price extended its decline in the bearish zone and broke the USD 0.45 support. It stayed above the USD 0.43 level, but there is a risk of another bearish reaction towards the USD 0.42 support in the near term.
Other Altcoins Market Today
Most altcoins faced an increased selling pressure and moved further into the red zone, including gas, stellar, cardano, IOTA, TRON, NEO, XMR and DASH. Two altcoins KCS and POWR gained traction today and moved up by 12% and 8% respectively.
The current market sentiment is signaling a bearish bias and if bitcoin price fails to stay above the USD 6,250 support, there could be heavy losses in the coming sessions.