BTC continues its downtrend in opposition to bulls’ expectations. The two largest cryptocurrencies in the market failed to surge amidst news of the approval of the Bitcoin and Ethereum ETFs in Hong Kong.
The funds started trading on April 29 but failed to garner as much attention as many expected. Contrary to many expected bullish moves, the crypto market slightly bled as the announcement did not affect trading volume.
The global cryptocurrency market cap also lost over 9% over the last seven days. Currently trading at $2.23 trillion, some assets are gradually recovering from the downtrend. Will the recovery continue throughout this week?
Top Five Cryptocurrencies to Watch
BTC/USD
Bitcoin continues to decline on a weekly and daily scale. Last week, it closed with losses of almost 3%. This comes after the asset peaked at $67k but retraced to a close at $63k following several slight price declines.
The downhill trajectory is still present at the time of writing as the apex coin is having one of its most significant dips this month. It tested the $60k support for the first in almost ten days. Nonetheless, it rebounded at $60,500. Additionally, based on the asset’s most recent performance, it is down by 5%.
BTC lost the first pivot support a few hours ago. The bulls’ failure to force a recovery increases the chances of the asset testing the second pivot support at $53k.
The Relative Strength Index is also declining in response to the massive increase in selling pressure. The metric returned to its three-month low at 37 as the pressure mounts. Nonetheless, previous trends indicate a possible pullback at this mark. The same happened barely ten days ago.
To this effect, the accumulation/distribution channel points to a possible change in trajectory in the coming days. The signal it prints suggests that the current downtrend should not be as severe as it is and that prices will recover to the right level.
If that happens, the apex coin will look to reclaim $64k. The bulls will accumulate at the current price to achieve this.
ETH/USD
Ether’s performance during the previous intraweek session sparked speculations of a return to $3,500. However, it fell short as it peaked at $3,355. After hitting the brick wall, it retraced to a close at $3,263, indicating a more than 3% hike.
Trading action over the last 48 hours suggests that the uptrend ended. The altcoin lost almost 2% during the previous intraday session and is still declining. A few hours ago, it broke the $3k support and is now exchanging at $2,984.
On-chain data shows that the asset had a 10% increase in trading volume over the last 24 hours. However, the current price performance suggests the bulk was from the bears. In response, RSI is heading for its three-month low at 38 as it resumed its downtrend.
A closer look at the metric shows that ETH always experiences buyback when it gets to 36. This trend played out more than three times in the last three months. If the same playout this week, this will mean a further decline before recovery.
The altcoin may continue its descent until it sees buyback at $2,800 (78% Fib), having lost the 61% Fib. Nonetheless, the current candle shows an extended wick, indicating the bulls are gradually soaking up the excess supply. A close with this trend will guarantee the coin reclaims its first pivot support at $3,100.
BNB/USD
The exchange native token has been on the uptrend for almost two weeks. Due to the constant upticks, it formed a bear flag. The effect of the flag took effect during the last two days of the past week. Nonetheless, it closed with gains of more than 3%.
Trading actions over the last 48 hours show that the coin is still experiencing the effects of the trend. Additionally, with the crypto market seeing a massive decline at the time of writing, BNB failed to oppose the market sentiment. As a result, it is seeing one of the biggest declines this month. Following a peak at $605, it retraced to a low of $555.
In response, RSI is on a downtrend. Currently at 45, if the price decline continues, it could drop as low as 40.
The moving average convergence divergence is also printing a sell signals now. The 12-day EMA has intercepted the 26-day EMA from above in a bearish convergence. With the divergence underway, the altcoin will experience more decline. The asset may dip as low as $541 before rebounding.
However, currently trading at $567, it reclaimed its 61% Fib. The bulls will look to continue the push. They’ll try to reclaim the 50% Fib at $579.
DOGE/USD
Dogecoin surged to a high of $0.16 during the previous week. Nonetheless, it failed to sustain prices at this level, retracing to a low of $0.14. It ended the week close to this mark and registered losses of over 7%.
The asset is yet to recover from the downtrend as it continues over the last 48 hours. It is down by over 9% on the weekly scale as prices approach its one-month low. Currently trading at $0.13, indicators like the relative strength index are printing bearish signals. The metric is at 34. If the market sentiment continues, it will dip below 30, making DOGE oversold.
Using an old trend, the Fibonacci retracement highlights critical levels to watch. Having lost the first pivot support at $o.14, the Pivot Point Standard points $0.076 as the next stop. However, this will not happen this week as the coin will look to end the week above the 50% Fib at $0.12. The asset may retest the 61% fib at $0 if it fails.11.
Additionally, DOGE will look to reclaim its S1 at $0.14 before the week runs out.
AVAX/USD
Avalanche is currently down by over 8%. It started the week high with gains of over 4% during the previous intraday session. As a result of the most recent dip, it lost all the levels it climbed. Currently trading at $32, indicators are hinting at further price decline.
The RSI resumed its downtrend following the current price trend. In response, MACD’s 12-day EMA is about to intercept the 26-day EMA barely a week after the bullish divergence. With an impending bearish convergence, the bulls will look to defend several key levels.
Based on previous price movements, one such level is 32% fib at $32. Price movement suggests that there is significant demand concentration around the mark. Nonetheless, the coin will retrace as low as $28 if it fails.
On the other hand, the bulls will push prices as high as $36 before the weekends.
