SOL is slowing down following its massive spike on Friday. It is the best-performing coin in the top 10 during the current session.
Nonetheless, a drop in trading volume is evident on Saturday, explaining the drop in momentum. It is worth noting that SOL grapples.
Friday’s trading action was one of the most bullish for the crypto market. The global cryptocurrency market surged by almost 6%, returning to $4 trillion for the first time in seven days. However, it is down by nearly 2% as several assets registered notable pullbacks.
News from the Federal Reserve’s chair triggered massive positive sentiment across the sector. The expectation of better performance ahead started as the possibility of a rate cut in September is likely to become a reality.
Nonetheless, traders lost over $600 million trading the derivatives market. Long positions accounted for over 80% of the total liquidations. However, several onchain data indicated that the uptrend was going to be short-lived.
A recent report from Glassnode noted that institutional selling was increasing. US spot crypto ETFs saw notable losses during the previous intraday session and registered significant outflows. Additionally, other technical metrics on the 4-hour scale flipped bearish following the sudden price.
The week is ending with no notable changes in the price of several cryptocurrencies. Let’s see how prices may perform in the coming days.
BTC/USD
Friday’s price actions resulted in Bitcoin peaking at $117,41 after it dropped to a low of $111,658. It gained almost 4% during this session. However, trading action at the time of writing indicates that it is losing momentum.
BTC is down by almost 2% and grapples with notable selling pressure at $114,800. Nonetheless, the 4-hour chart explains why the apex coin is in a downtrend. It broke above the bollinger bands during the previous intraday session.
The asset has since declined, dropping and approaching the middle band. It is worth noting that the apex coin was trading between the middle and lower band before its latest breakout. It may return to this trend, which will mean a significant decline below $112k.
Aligning with the readings from the BB is MACD. It shows the 12 EMA trending downward as its bearish convergence nears completion.
ETH/USD
Ethereum edged close to its all-time high but faced massive rejection at $4,885, just a few dollars shy of the record. Nonetheless, the asset gained a whopping 14% on Friday but struggles to continue the uptrend.
The altcoin dropped to a low of $4,660 from $4,830. However, it trades slightly higher at the time of writing amid rising selling pressure.
The 4-hour chart shows that most of the price declines started in the early hours of Saturday. ETH has since consolidated between $4,750 and $4,670. It printed three candles in this trend, indicating that it has lasted for more than 9 hours.
Nonetheless, the altcoin’s latest candle is close to the boundary of its current sideways trend. This means that it may be edging closer to a breakout. If that happens, a new all-time high on Saturday is certain. However, a drop in momentum will see the coin drop below $4,600.
XRP/USD
XRP was trading at $3.01 at the time of writing, following its gradual descent from $3.07. It failed to continue the previous day’s uptrend that saw it gain over 7% and peaked at $3.10.
The 4-hour chart shows that a bulk of the retracement happened early on Saturday as the traders took profit. Nonetheless, the buyers tried a buyback with limited success.
The bollinger band shows that XRP was trading above the upper band but is back within the indicator. However, the asset may continue downward, retesting the middle band at $2.95. It is worth noting that the drop in trading volume suggests diminished interest in the coin, which may be a recipe for further decline.
BNB/USD
Like SOL, Binance coin printed a massive green candle during the previous intraday session. It surged to a new all-time high of $900 but is struggling to continue the uptrend at the time of writing.
BNB started Saturday at $899 but retraced to $876. Although it trades slightly higher, the 4-hour chart indicates that it is still at risk of further price declines.
The chart shows several dojis after the significant drop earlier. The candles were due to several failed attempts at buyback. However, BNB’s latest candle is red, suggesting that the bears seized the initiative. The coin is approaching $880 and may lose the mark, dropping to $860.
SOL/USD
SOL saw another significant push on Saturday following its surge the previous day. The bulls appeared unsatisfied with the 11% increase on Friday as they pushed the coin to retest its previous high.
SOL peaked at $208 a few hours ago but trades lower as it lost momentum. Nonetheless, it is worth noting that the altcoin recovered a low of $196 before its latest increase.
The 4-hour chart shows that bulls are still trying to stage further upticks. The next price target will be $210 if they succeed. Conversely, a change in sentiment will send the coin below $200.
DOGE/USD
DOGE is recovering from a drop to $0.228. It trades close to its opening as it shapes up to fully erase the losses. The buyers are trying to reignite the previous day’s surge that resulted in the memecoin gaining over 12%.
However, the 4-hour chart shows that the coin is consolidating. It maintained this trend over the last 10 hours and shows no signs of breaking out. Aligning with the latest trend is the relative strength index. It is trending sideways as there is no significant change in trading pressure.
However, the bollinger bands suggest that the asset may retrace following the failed attempt at an uptick. The asset will drop below $0.23.
ADA/USD
Cardano is on the verge of breaking below $0.90 after reclaiming it a few hours ago. The 4-hour chart indicates that the altcoin is currently in a downtrend and shows no signs of halting.
If the downward movement continues, the altcoin will drop as low as $0.88. Supporting this downtrend is the bollinger bands. ADA broke above the mark during the previous intraday session. Its latest decline follows that event.
Nonetheless, previous price movements indicate that the altcoin may drop to the middle band around $0.88.
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