BTC failed to continue its uptrend, following a significant hike during the previous intraday session. It is relatively stable but prints a red candle as it grapples with growing selling congestion.
BTC is one of the many coins in the top 10 with small losses. Nonetheless, the bearish sentiment gradually spreads across the crypto market. The global cryptocurrency market cap dipped to $3.27 trillion a few hours ago. Trading volume is also down by over 12% over the last 24 hours.
Several assets experienced significant volatility over the last four days. Let’s see how they performed and their current state.
BTC/USD
BTC recently encountered significant resistance near the $96,000 mark, reaching a peak of $96,658 before declining to a low of $94,658. This pullback indicates a loss of momentum as the cryptocurrency contends with increasing selling sentiment in the market.
Following a surge the previous day, BTC is currently undergoing a cooldown phase, successfully avoiding fears of a drop below the $90,000 threshold. Starting at $92,000, it managed to climb back above $96,000, even peaking at $97,353 before retracing.
Despite this, BTC still recorded an overall increase of over 4%. On-chain indicators exhibit mixed signals amid the prevailing market trends. Trading activity in the Asian markets may be contributing to the current downturn, as the Korea premium has turned negative, indicating lower buying volume compared to selling pressure.
Exchange reserves are dropping, with an over 140% rise in deposits from cold wallets to trading platforms within the last 24 hours. At the time of analysis, the one-day chart’s indicators reflect a negative outlook.
The Relative Strength Index (RSI) increased from 61 to 66 during the last intraday session but is currently at 64, suggesting difficulty in absorbing the growing supply.
Meanwhile, the Moving Average Convergence Divergence (MACD) is indicating sell signals, having shown bearish divergence a few days prior. Despite the recent 4% increase, this movement has not influenced the 12-day Exponential Moving Average (EMA), which continues its downward trend and has reached one of its lowest levels in the past week.
ETH/USD
Ethereum experienced a significant decline in the previous intraday session, opening at $3,323. The price saw an upward movement, breaking through its July high of $3,544.
However, momentum waned just $12 short of reaching the $3,700 mark. Although bulls were hopeful for a retest of $3,800, recent trading activity indicates a decrease in buying volume.
Signs of buyer exhaustion have emerged as Ethereum struggled to maintain its upward trajectory. The current trading session shows a sharp increase in selling volume after the opening, with ETH now trading at $3,580, reflecting a slight recovery from a dip. Overall, the asset has declined by more than 2%.
Despite this short-term downtrend, the moving average convergence divergence (MACD) is signaling buy opportunities. The 12-day exponential moving average (EMA) remains in an upward trend following a bullish interception a few days prior, though the momentum is not as strong as before, with the histogram bars showing little change.
The relative strength index (RSI) reached 70 during the last session, indicating that Ethereum was slightly overbought; it currently stands at 66. This metric, along with the accumulation/distribution (A/D) indicator, suggests increasing distribution in the market.
Nevertheless, bulls are holding onto the critical support level at $3,500 amid growing bearish sentiment. Sustaining this level is crucial, as a drop below could risk a further decline towards $3,400.
SOL/USD
As of the current analysis, Solana is facing significant selling pressure. The cryptocurrency is trading at $236, experiencing a slight recovery from a low of $232, after having previously peaked at $245, which reflects an almost 3% decrease in value since the start of the day.
This asset is undergoing a cooldown phase following a notable surge the day before. It managed to rebound from a four-day downtrend, during which its price fell from $260 to $220, amounting to a loss of approximately 15%. However, it did see an increase of over 5% during a rally from $230 to $243.
Technical indicators, such as the Relative Strength Index (RSI) and Accumulation/Distribution (A/D) metrics, indicate substantial bearish activity. Currently, the RSI is neutral after dropping from 70 several days ago, with sell-offs continuing as it rests at 57. There has been a marked decrease in accumulation over the past 24 hours as many traders liquidate their positions.
The Moving Average Convergence Divergence (MACD) also signals bearish momentum at this time, having recently exhibited a bearish divergence. Despite the 5% uptick during the last intraday session, it has not significantly influenced the 12-day Exponential Moving Average (EMA), which continues its downward trend, reaching one of its lowest points in the past week.
Traders remain apprehensive about retesting the $220 support level, which has previously acted as a strong resistance point. It remains uncertain whether this support will hold in the face of ongoing selling pressure.
BNB/USD
Binance Coin (BNB) is about to break out but encountered significant rejections, leading to a significant decline in its price. Currently, BNB is trading at $649, having opened the day at $644, and reached a peak of $664 before losing momentum. As it stands, BNB may conclude the trading session with little change in its value.
The recent shifts in BNB’s trajectory can be attributed to the considerable increase it experienced during the prior intraday session. The coin started the day at $613 and surged after a brief dip to $607, breaking through the $640 threshold and coming within $3 of reaching $650.
Current price action indicates that bullish momentum may be waning, as the sharp decline following the recent peak suggests that BNB is facing substantial selling pressure. The Accumulation/Distribution (A/D) chart on the 1-day timeframe reflects a decrease in buying activity, indicating difficulties in absorbing selling supply.
Moreover, the Relative Strength Index (RSI) showcased significant buying pressure in the previous session, rising from 50 to 57. However, in the last 24 hours, this indicator has only shifted slightly.
On a positive note, the Moving Average Convergence Divergence (MACD) remains in positive territory despite the prevailing bearish sentiment. The 12-day Exponential Moving Average (EMA) continues to rise, following a bullish divergence observed during the last session.
Historical price movements suggest that sustaining levels above $640 may be temporary due to a lack of concentrated demand. To mitigate further declines, BNB needs to maintain support around the $250 level.
