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At press time, the value of Bitcoin has been driven down after testing the resistance level of $40,000. As the world’s largest cryptocurrency fell, the price charts of the market’s altcoins also showed significant declines. Ethereum, for example, was on a continuous downward trend, and the rest of the market’s alts followed suit.
Ethereum investors have been holding on to the cryptocurrency while developers work to make the project more environmentally friendly. After finding support at $2,652.18, the price was unable to maintain it and dropped. Ether was trading at $2,551.93 at the time of writing. As it continued to fall, the next level of support was $2,367.37.
When the 50 Moving Average passed over the candlesticks, the price trend changed. As the price began to fall, traders realized profits and sold their ETH. Money that had entered the market began to leave as the selling gathered traction.
The Chaikin Money Flow indicator confirmed this, dropping below zero, indicating that money was moving out of the market. Meanwhile, Ether has already reached the oversold zone and may receive some assistance from market buyers.
Monero‘s traders initially supported its value over $248, and the largest activity occurred at $255, according to the Visible Range indicator. As the price went out of this trading range, it plummeted below the $228 support level. As of press time, XMR was trading at $233, indicating that volatility has increased dramatically, and the market may expect greater price fluctuations in the near future.
Meanwhile, when more traders recognized their holdings were on the way down, activity was seen supporting the declining price. For a contrarian, this might be a hint to purchase the drop, and the price might return to $248. The Directional Movement Index [DMI] discovered that the -DI was higher than the +DI, indicating that the price was under more downward pressure. However, at the time of writing, the -DI was heading south, which might be a hint of a trend reversal.
At the time of writing, the VeChain [VET] market had followed in the footsteps of the ETH market and was experiencing a significant drop in value. Since yesterday, the crypto-asset has been on a downturn, and the most recent price surge prompted VET to breach support around $0.1204 and trade at $0.1121 at press time.
However, given the market’s decline, the market was already indicating gloomy implications. The markers of the Parabolic SAR had aligned above the candlesticks, indicating that the asset was not being purchased at the present price and was being driven primarily down. Despite a brief period of recovery in VET, the general market attitude remained gloomy. On May 26th, the MACD line passed beneath the Signal line, confirming this. Since then, the alt’s price has been falling.