BTC slows its uptrend as the bulls show signs of exhaustion. It edges closer to attaining its third day of consistent increases.
However, data from CoinMarketCap indicates a significant decline in trading volume. BTC is experiencing a 34% decrease in buying and selling volume as price volatility reduces.
Following two days of consistent declines, the global crypto market cap sits at $3.27 trillion. Investors are notably optimistic about the next price action. The Fear and Greed Index increased by one point over the last 24 hours.
However, the bulls’ fatigue is extending to other crypto assets as the trading volume across the crypto market has plummeted by 31%.
Nonetheless, altcoins are leading the gains. SYRUB is experiencing its third consecutive day of consistent increase. The previous session was the biggest as it surged from $0.49 to a high of $0.57, ending the session with gains exceeding 15%.
PI is seeing a similar increase. It opened at $0.54 and surged to a high of $0.63. Although the asset is trading lower than its peak, it remains up by over 13%.
Fundamentals remain significantly positive at the time of writing. This may mean that the market may not see any massive downside move. Nonetheless, most assets remain volatile. Let’s see how they will perform.
BTC/USD
BTC is on the verge of breaking above $ 107,000 for the first time in over six days. It gradually approaches the level after a less volatile performance during the previous intraday session.
The asset has been on an uptrend since rebounding off bollinger’s lower band. It reclaimed the middle band on Tuesday. As with trading within the indicator, its next price target may be the upper band. It will mean the coin will edge closer to $110k in the coming hours.
MACD supports this speculation, printing buy signals. The 12 EMA is on the uptrend as the price improves. Its ongoing bullish convergence nears completion, which may herald further price increases.
The $107k mark may be the last hurdle before the highlighted resistance. Failure to decisively flip this mark may see the asset retrace to $103k. The drop in trading volume may be a key factor in such a decline.
ETH/USD
Ethereum may end Wednesday with its first red candle after two days of consistent declines. It grapples with notable selling pressure after another failed attempt at reclaiming the $2,45o barrier. It threatens to retrace below $2,400.
The likelihood of this happening is significant, as trading volume dropped by 38% in the last 24 hours. Previous price movements suggest that a slip below this mark may send the coin dropping as low as $2,380 before rebounding. RSI is declining as selling pressure increases.
The 2-hour chart suggests further price declines may be underway as indicators have flipped bearish. The moving average convergence divergence displays sell signals as the 12 EMA intercepts the 26 EMA. RSI is on the decline as selling pressure increases.
ETH may experience a shift in its trajectory. It may attempt $2,450 and continue upward. The bollinger bands hint at the asset testing the middle band afterward. This may lead to a flip of the $2,500 barrier.
XRP/USD
XRP recovered from a dip to $2.17 after peaking at $2.20. Although it trades slightly higher than its low, it remains at risk of further decline. It saw a notable spike in selling pressure as trading volume plummeted. Nonetheless, it bounced off bollinger’s middle band a few hours ago.
The asset may hover close to the SMA for an extended period. However, previous price movements suggest an impending slip to $2.15. A further slip from this mark will result in a possible decline to $2.
The 2-hour chart displays a similar signal, indicating a potential short-term downtrend. MACD displayed a negative divergence a few hours ago, which may lead to further price decline.
BNB/USD
Binance coin was on the verge of hitting new levels after breaking above Bollinger’s SMA. It peaked at $652 after starting the day at $642. The asset lost momentum and retraced due to significant selling congestion.
BNB trades at $645 at the time of writing. Like BTC, it sees a notable decline in trading volume, which may explain the latest drop in price. Nonetheless, the relative strength index remains on the uptrend amid the unfolding trend.
The massive decline from its peak may mean the bulls are getting exhausted and may stop absorbing excess supply for those taking profit. The altcoin may slip below $640, with a huge chance of rebounding around $635.
SOL/USD
Solana prints a doji at the time of writing with short wicks, suggesting that the asset saw little volatility. The altcoin retraced after facing rejections at $147, marking the third day of failing to break above the mark.
Declining trading volume suggests that SOL may see further declines. It dropped to a low of $142 on Tuesday. It may register a deeper low, retesting $140. The slight drop in the relative strength index increases the likelihood of this happening.
Nonetheless, the bollinger bands hint at a return to $150. SOL may surge, breaking bollinger’s SMA.
DOGE/USD
Dogecoin retraced after testing the previous day’s high. Trading action over the last two days indicates notable selling congestion at $0.167. A slight correction may not result in a significant change as it shows signs of rebounding.
It is worth noting that the asset is trading above a critical level with notable demand concentration. DOGE has rebounded off the $0.165 mark more than once in the last seven days. It may repeat this trend on Wednesday.
Nonetheless, a slip below the highlighted mark may lead to a drop to $0.152. RSI indicates that the asset is seeing almost equal buying and selling at the time of writing.
ADA/USD
Cardano is on the verge of further decline, trading almost 2% lower than it started the day. As with most assets, it experienced notable selling congestion at the previous day’s high.
The coin risks losing all its accumulated gains, as its current price lacks significant demand concentration. It will retrace to this level, hinting at a drop to $0.55.
Conversely, a change in the ongoing trajectory may send it to $0.60.
