Cryptocurrency market update: Bitcoin massacres critical support as market dips to $192 billion

In a recent interview with Bloomberg, CoinList CEO, Andy Bromberg reckoned that the crypto market is going to be cyclical for a long while. In September alone, we have seen the market make both significant bullish and bearish swings. Last week the total market capitalization dropped to a 2018 low at $189 but recovered to $204 on September 15. Prior to the sudden declines yesterday, the total market cap was standing at $198 billion. However, at the time of writing, the widespread selloff led by Bitcoin has tanked to $192 billion.

Bitcoin recently recovered from the overarching declines that took place early last week. The crypto had plunged mercilessly like deadweight from exchanging considerably above $7,300 to the lows of $6,120. A support was established at $6,200 and $6,240. Bitcoin corrected higher breaking above $6,500 and traded weekly highs of $6,529 before losing balance on Monday.

The declines failed to find support at $6,440 and $6,400 respectively as discussed in the analysis published yesterday. The bearish trend continued below $6,300 before embracing the support established at $6,200. At present, BTC/USD is trading at $6,242 after attempts to reach $6,300 have stalled at $6,284.25.

The trend is generally bearish but the MACD is ranging at the mean level (0.0). On the upside, the 50SMA currently at $6,255.58 (hourly) is limiting gains. Moreover, the 100SMA will hinder movement at $6,295.3. On the other hand, the support at $6,200 must be defended by all means. Otherwise, Bitcoin could test $6,000 as well as the major support at $5,800.