Cryptocurrency Market Update: What to make of Bitcoin’s dip under $10,000?
|- Bitcoin price struggles to return above $10,000 following a flash $300 dip to $9,700.
- Cryptocurrencies suffer losses after weekend gains hit key barriers; Ripple dives towards $0.27 while Ether tries to hold above $220.
The cryptocurrency market is back in the red after an impressive weekend session. Selected coins such as Bitcoin, Ethereum and Tezos shot upwards breaking key barriers at $10,000, $225 and $2.70 respectively.
However, the trading on Monday sees crypto trim gains as a reflection of investors rushing to take profits. For instance, Bitcoin flash dropped to $9,700 temporarily before reversing towards $10,000. However, the price has not been able to cross back into the $10,000 range.
Ethereum price update
Ethereum and Ripple have not been spared by the selling wave across the crypto universe. Ethereum is down 3.15% on the day following a rejection at $229. Ether’s price currently teeters around $221 in a bid to defend the key 220 support. Although the crypto has dipped to the first support, it remains relatively bullish. Besides, according to Nik Patel, Ethereum is about to enter another bullish chapter that could see it surge towards $360.
The reversal from here has been phenomenal, with Ethereum doubling in price since. Price has also broken out above trendline resistance from the June 2019 high and looks set to close the Weekly above both the $200 and $225 swing-highs, turning market structure bullish and opening up a move to retest $360.
Ripple price update
On the other hand, Ripple has corrected lower from the opening value at $0.2824 to $0.2730 (market value). The main battle is to contain the losses above $0.27 while pulling the price above $0.28. If XRP closes above $0.30 on a weekly basis, traders can then start getting ready for a follow-up rally towards $0.5.
Bitcoin confluence levels
Following the dip under $10,000, Bitcoin attempted another short to reclaim the lost ground. However, the seller congestion zone at $10,054 is standing in the way as shown by the previous high 1-hour and SMA ten 4-hour. The main resistance in the recovery towards $10,200 is $10,157 and is highlighted using the Fibo 23.6% Daily and the Bollinger Band 15-minutes upper.
On the flipside, a first support has been established at $9,951 and features indicators such as BB Band 4-hour middle, BB 1-hour lower, previous high 15-mins and the previous low 1-hour. The major support calls9,642 home as shown by the SMA 200 1-hour, SMA 50 4-hour and the BB 4-hour lower.
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