Bitcoin and Altcoins Trimmed Most of Last Week’s Gains
- Bitcoin price extended downside correction and tested the USD 6,500 support.
- Ethereum also traded lower, but buyers defended a key support at USD 450.
- Many altcoins are down heavily like bitcoin diamond, bancor, cortex and ethos.
There was a solid increase in selling interest during the past two sessions. Bitcoin declined sharply and broke the USD 6,600 support. However, buyers were able to hold declines below USD 6,500 - USD 6,540. Similarly, Ethereum nosedived and broke the USD 470 and USD 460 supports to test the USD 450 pivot level. The market is clearly under a lot of bearish pressure, but if prices stay above these important supports, there could be a recovery in coming sessions.
Bitcoin price struggled to hold gains above the USD 6,700 support and declined around 2% to test the USD 6,500 support zone. BTC/USD stayed above the stated support and is currently consolidating losses near USD 6,600 (UTC 8:00 AM). It must move back above USD 6,700 to recover and retest USD 6,850.
On the flip side, if the price extends its decline and breaks the USD 6,500 support, it will most likely move back in a bearish zone. The next supports are at USD 6,400 and USD 6,250.
Ethereum price dropped more than 5% and cleared the USD 470 and USD 460 supports. However, ETH/USD stayed above the USD 450 support, which is a positive sign.
Having said that, there is still a risk of more losses if sellers succeed in pushing the price below USD 450. On the upside, the USD 470 level is a key resistance for a decent recovery towards USD 485 in the near term.
Bitcoin Cash and Ripple
Bitcoin cash price slowly moved down and almost tested the USD 700 handle. BCH/USD is currently consolidating near USD 720 with an immediate resistance at USD 740. Above this, the price may perhaps revisit the USD 780 resistance.
Ripple price is back in a bearish zone and is currently trading above the USD 0.45 support. Should there be a downside break below USD 0.45, XRP/USD may well decline back towards the USD 0.42 support.
Other Altcoins Market Today
Today, many small cap altcoins declined heavily, including bitcoin diamond, bancor, cortex, ethos, LOOM, CMT, gas, populous, aion and ZIL. These coins registered losses between 10-25%.
Overall, the recent decline in bitcoin and altcoins trimmed most of last week’s gains. It is a bearish sign, but if bitcoin price stays above USD 6,500, the market could stage a comeback in the near term.