By Franklin Smith
- BTC had its price retesting weekly support floor at $34,752 following a 22% crash within the last four days.
- Ethereum price breached a vital support zone with a visit to the foothold of $2,324.
- The overall market flashes weakness.
Bitcoin (BTC) has suffered a massive drop last week, erasing gains recorded since 25 July 2021. Ethereum and other assets in the altcoin industry mimicked the bearish actions of the world’s leady digital coin. Furthermore, altcoins appear worse than BTC.
Bitcoin Struggling
Bitcoin has experienced a 22% fall within the last four days. That way, the bellwether crypto retested the weekly support zone at $34,752. Though Bitcoin has chances to kick-start an upward move from this level, breaking beneath it appears inevitable in a market maker’s viewpoint.
One reason explaining Bitcoin’s anticipated fall to $30K is the liquidity beneath the foothold at $29,100. With that, market players may expect further declines in Bitcoin in the coming days.
Though things appear grim for BTC price action, the crypto might avoid the pessimistic picture through a daily candle close beyond $45,236. Such developments will trigger bullish actions in the overall crypto spectrum.
Ethereum on a Decisive Moment
Ethereum price has mimicked BTC. The leading alt fall below the demand zone stretches between $2,650 and $3.347, flipping the value area into the breaker. Though such a scenario means bearishness, the weekly support near $2,324 seems to prevent further declines by ETH.
A decisive break beneath this footing might push the alt lower to $1,730, targeting the sell-side liquidity below the mark. Nevertheless, such a narrative might prompt further declines. Crypto enthusiasts may expect Ether to gain some ground near this mark and create a base to launch an uptrend.
Meanwhile, a potential surge in buying momentum might push Ether or a daily candle close beyond the $3,347. That way, the dominant altcoin might cancel the bearish narrative. Such a development might catalyze ETH higher, retesting the 200-day DMA at $3,492, then 50-day Simple Moving Average of $3,614.
For now, the crypto market appears unpredictable in the near and long term. Nevertheless, bears appear strong as most assets contemplate downtrends.
What are your thoughts on the current situation in the crypto industry? You can comment below.