Crypto Market Update: Bitcoin face a brick wall on approach to $7,000

The cryptocurrency market has calmed down on Wednesday as Bitcoin and all major altcoins stayed in the ranges after a volatile start of the week. While the upside momentum has faded away, many coins settled above critical support levels broken during the recent recovery. The total market capitalization hit $185 billion, while an average daily trading volume on the cryptocurrency market settled at $141 billion. Bitcoin's market dominance is registered at 65.4%.

Top-3 coins overview

BTC/USD hit the recent high at $6,983 and retreated to $6,700 by press time. The coin settled above a strong barrier of $6,000; however, a move below $6,500 will postpone another attempt at $7,000. This resistance area is reinforced by SMA100 weekly at $7,150. BTC/USD has lost nearly 2% in recent 24 hours after 12% growth on Tuesday. 

ETH/USD is hovering around $136.50 after a failed attempt to settle above $142.00. The second-largest digital asset is following Bitcoin's lead and may proceed to $150.00 if Bitcoin takes out $7,000 and the market sentiments are improved. ETH/USD has lost 2% in recent 24 hours and over 3% since the start of Tuesday.

XRP/USD hit the intraday high at $0.1659 only to return below $0.1600 by the time of writing. XRP stayed unchanged on a day-to-day basis and lost 3% since the beginning of the day. The initial support is created by $0.1500. 

What's going on on the market

The market is preoccupied with the economic and financial risks triggered by COVID-19. As more countries announce full or partial lockdown, the fears a growing that the global economy may grind to a halt. While many cryptocurrency enthusiasts believe that this crisis will become a moment of glory for Bitcoin, the current situation is full of uncertainty that may work against digital assets in the short run.