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The Cryptocurrency Market Update: Bitcoin stagnates above $7,000 after an action-filled week

  • The majority of cryptoassets start to nurse wounds days before Christmas.
  • Bitcoin bulls decide to defend $7,000 at all costs.
  • Ethereum and Ripple stuck under key resistance zones; at $130 and $0.20 respectively.

It is just hours before the last weekend to Christmas starts and the cryptocurrency market is relatively stable. The stability is more of a consolidation period after an action-filled week. The high volatility on the market has seen major cryptoassets test new 2019 lows while some have contained gains above crucial support areas.

According to the data CoinMarketCap, the entire market capitalization is also stable, although a $3 billion loss recorded was posted between the close of the session on Thursday and the time of writing. In other words, the crypto market is valued at $190 billion, down from $193 billion. As stability kicks in, the volume exchanged has also gone down from $103 billion to $80 billion in the same period.

Bitcoin market update

Bitcoin shot up marvelously on Wednesday, testing the critical resistance area at $7,500. The upside was a reflex action after the price touched the recent November lows around $6,500. While a correction ensued immediately after, Bitcoin has been intentional on sustain gains above $7,000.

In the meantime, Bitcoin is trading at $7,126 but the immediate upside is capped under $7,200. The RSI suggests that price action in the coming sessions will stay confined in a narrow range between the 61.87% Fibo and $7,200. On the brighter side, the 50 SMA has crossed above the 100 SMA on the 1-hour chart, signaling the presence of the bulls.

BTC/USD 1-hour chart

Ethereum and Ripple Market update

Ethereum plunged below $120 earlier this week. The recovery that followed the drop shot above $130 but could not sustain gains towards $140, forming a high around $133. At the time of writing, Ethereum is exchanging hands at $127 after a subtle 0.95% loss. Although the trend is bearish, the shrinking volatility hints that downside action will stay limited in the coming sessions.

Ripple, on the other hand, is holding ground at $0.1867 after losing 0.6% of its value on the day. Movement north are limited under $0.20 since yesterday and $0.1750 has established a a vital support area.

Author

John Isige

John Isige

FXStreet

John Isige is a seasoned cryptocurrency journalist and markets analyst committed to delivering high-quality, actionable insights tailored to traders, investors, and crypto enthusiasts. He enjoys deep dives into emerging Web3 tren

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