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Crypto Market Rebounds, but Fear Still Persists

Despite Bitcoin and Ethereum rebounding above key levels, the fear and greed index remains low, with Sui and Celestia poised for bullish breakouts.

Jim Haastrup

Key Insights

  • The crypto market has rebounded, with Bitcoin breaking above $58,000 and Ethereum reaching $2,360.

  • However, the fear and greed index remains in the fear zone despite market gains.

  • Bitcoin and Ethereum, despite the price increases, are still trading underneath their 25-day EMAs.

  • Sui and Celestia are some of the cryptocurrencies most poised for bullish breakouts.

The crypto market’s outlook has improved once again over the last 24 hours, with a 2.7% increase in market cap as of writing.

We now have Bitcoin back above the $58,000 zone, Ethereum at around $2,360 and the total market cap back above the $2 trillion mark again.

The crypto heatmap has turned almost entirely green, as shown, with only a few splotches of red here and there:

The crypto heatmap

What is interesting, though, is that the fear and greed index, despite the market's turn-up, is back at the fear level, according to CoinMarketCap.

Yesterday, this metric sat at around 46/100, which was neutral. Today, we have an outright fearful 37/100 reading, which adds an element of confusion to the mix.

The crypto fear and greed index

Some of today's top gainers include Sui, Artificial Superintelligence Alliance, BinaryX, Arweave, Injective, and Celestia, all of which have experienced price increases between 7.2% and 15.83% over the last 24 hours.

On the other hand, some of the worst losers include Internet Computer and Worldcoin, both of which declined less than 1.5% in the last 24 hours.

The crypto liquidation heatmap

Apart from the fear and greed index, the liquidation figures are another aspect of the market that doesn't quite make sense.

The crypto market has turned green over the last day. However, the liquidation figure shows that $111 million has been taken from traders across the market.

Interestingly, both parties lost almost the same amount, with the bulls losing $58 million and the bears losing $53 million.

Why is all of this happening?

Bitcoin Could Be Set For a Comeback

Bitcoin's chart explains this equality in liquidations. According to the daily chart, the lower wick for the candlestick from Wednesday, September 11, is incredibly long.

This shows that the bulls suddenly woke up and caused a comeback in price, saving Bitcoin from going any lower than $55,545.

Bitcoin’s price performance

As shown in the charts, the cryptocurrency is now testing its 25-day EMA around $58,208 and is attempting to break above.

If the Bitcoin bulls succeed with this breakout attempt, the cryptocurrency will have another real chance to test and break out above the $60,000 zone once again.

What Next For Ethereum?

According to the charts, Ethereum followed Bitcoin's footsteps on Wednesday and rebounded before the bears pushed its price any lower than $2,277.

However, according to the charts, the cryptocurrency is now facing another resistance around the $2,385 price level.

Ethereum’s price performance

Keep in mind that this resistance is considerably strong and was responsible for holding Ethereum up as support throughout late August and early September.

Investors should watch Ethereum's price action above this level to determine where its price will go next.

If we indeed see a break above $2,385, a likely next stop would be around $2,480.

Incoming Breakout For $SUI

According to the charts, Sui found considerable support around the $04625 level on the descending trendline shown below.

As shown, the bulls swung into action, pushing the cryptocurrency upwards into an uptrend.

However, amid this uptrend, the cryptocurrency is now consolidating and is attempting to break out to the upside and resume its trek upwards.

Sui’s incoming breakout

Since 12 August, the cryptocurrency has retested the $1 mark three times and appears determined to break above it.

Investors should watch out for a spike in volatility/liquidations, which would serve as a marker for a valid breakout to the upside.

Whenever we see a break and close above $1, Sui will likely explode upwards to the next viable resistance around $1.2.

Has Celestia Hit Its Bottom?

According to the charts, Celestia appears to have hit a bottom of around $3.9 and is experiencing lower and lower volatility around this price level.

The good part about this arrangement is that the cryptocurrency's price action might be boring. However, it presents an attractive entry opportunity for investors, considering its need for an impulse move to the upside.

Celestia’s price performance

Investors should watch out for a break above the 25-day moving average of around $4.5, which would invariably lead the cryptocurrency to around $7.5 or even higher.

Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information but will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.