Bitcoin and Altcoins Rally Unravels
- Bitcoin price trimmed most of its gain this week and declined below the USD 8,500 support.
- Ethereum, bitcoin cash, ripple, ADA and neo also declined below key support levels.
- Loopring gained around 8% today and moved above the USD 0.70 level.
The past two sessions changed the game for bitcoin and altcoins. Bitcoin price was rejected from the USD 8,750 - USD 8,800 resistance area, resulting in a major bearish move. BTC/USD tumbled by more than USD 500 and tested the USD 8,100 support area. Altcoins market was also dragged lower as most major cryptocurrencies, including ethereum, bitcoin cash, ripple, ADA and neo posted declines between 5%-10%.
Bitcoin price formed a short-term top near USD 8,800 and declined sharply. BTC/USD broke many important support levels, including USD 8,500 to move into a bearish zone. The recent decline was protected by the USD 8,100 support, which acted as a barrier for sellers on many occasions.
However, it seems like the price may not stay above the stated support for a long time. If buyers fail to hold the USD 8,100 support, bitcoin could decline below USD 8,000. On the other hand, if the price corrects higher, the previous supports at USD 8,400 and USD 8,500 are likely to prevent upsides.
Ethereum followed bitcoin’s decline and dropped more than USD 50. More importantly, ETH/USD broke the USD 700 support and traded close to USD 670. The price is currently down 6.1% to USD 685 and it remains at a risk of more losses (GMT 9:00 AM).
An immediate support on the downside is at USD 670. Should there be a break below USD 670, the price may perhaps retest the USD 650 support. On the upside, the price has to move above USD 700 to recover in the short term.
Bitcoin Cash and Ripple
Bitcoin cash declined sharply and broke the USD 1,300 support. BCH/USD is currently down 12.2% to USD 1,245 with a lot of bearish signs. On the downside, the USD 1,200 support awaits to protect the current decline. Resistances on the upside are at USD 1,280 and USD 1,300.
Ripple trimmed most of its gains and declined below the USD 0.70 support. It is down 8.5% to USD 0.67, with an immediate support at USD 0.65. XRP/USD may correct higher in the short term, but upsides could be capped by USD 0.70.
Other Altcoins Market Today
Almost all altcoins registered losses during the past two sessions. A few coins such as Loopring, WAX, GTO, Power Ledger and Zcash remained stable with gains between 2%-8%.
The overall market sentiment turned bearish after bitcoin settled below the USD 8,500 support. The next move in BTC/USD depends on how buyers react when the price tests the USD 8,100 and USD 8,000 supports.