Crypto Market Update: Why Bitcoin is at the beginning of a massive downfall?
- Bitcoin hangs in the balance above $9,000 where gains are becoming unsustainable and losses lingering.
- Ethereum facing a make or break situation; the pivotal $220 will either lead to $230 or $200.
Bitcoin price is literally playing with fire. The widely traded digital asset failed to sustain gains above $9,300 last week following a bounce from levels marginally under $9,000. This put the sellers at the helm of the price actions over the weekend.
BTC/USD continued with the downtrend under $9,200 to the extent that $9,100 gave in. At the time of writing, BTC/USD is trading at $9,075 while the trend is facing a strong bearish bias. The only thing currently saving the bulls is the shrinking volatility which is ensuring that there are no rapid price actions.
As mentioned, Bitcoin slipped under $9,000 for the second time in June last week. The first time, BTC/USD embraced the support at $8,900. The second was a shallow dip under $9,000 last week. However, another drop into the $9,000 range could be explosive towards $8,600. Note that, in May Bitcoin retested the support at $8,600 and based on the prevailing bearish picture $8,000 downward target looks quite conservative.
Major cryptocurrencies bleeding
The losses in the market are not unique to Bitcoin but the entire market is in the red too. For example, Ethereum is currently seeking support at $220 after suffering rejection at $228. Ether had recovered from the weekend low at $215. However, the drab technical picture in the market suggests that losses could reach $200 in the near term.
Ripple price has not been left out and is affected by the selling pressure. XRP/USD is trading 0.5% lower and dealing with increased volatility and a bearish trend. The fourth-largest crypto has a market value of $0.1760 after correcting lower from $0.1769. Gains above $0.18 are needed to keep the price in an upward trajectory towards $0.19 and $0.20 respectively.