Crypto Market Dips: Bitcoin Leads Downturn, Altcoins Suffer More

The crypto market sees a minor dip, led by Bitcoin and Ethereum, while altcoins suffer more; Bitcoin struggles at $62,500, Ethereum steadies, and Kaspa shows bullish signs amidst market caution.
Crypto Market Dips: Bitcoin Leads Downturn, Altcoins Suffer More

Key Insights

  • The crypto market is down slightly, with Bitcoin and Ethereum leading the losses.

  • Liquidation figures have remained low despite the market dip, with altcoins taking the biggest hit.

  • Bitcoin is struggling to break past $62,500 and may fall towards $58,000.

  • Ethereum is holding steady at around $3,365. Investors should only open new positions once a clear direction emerges.

  • Kaspa is bucking the trend with bullish momentum, but if we don't see a breakout, it might face a reversal.

The crypto market hasn't moved very much over the last 24 hours and has even declined, considering the 1% drop in the total market cap.

We have Bitcoin back below the $61,000 price level once again, with a heatmap that looks like this:

<div class="paragraphs"><p>The crypto market’s heatmap</p></div>

The crypto market’s heatmap

Ethereum is back underneath the $3,400 zone, and the entire market is back in the reds, as shown above.

Data from Coinglass shows that while the market remains red today, the liquidation figures have remained relatively mild.

<div class="paragraphs"><p>The crypto market’s liquidation heatmap</p></div>

The crypto market’s liquidation heatmap

We only have around $80 million taken from traders overall, which is almost the same as yesterday’s $84 million liquidation figure.

Today, however, the bulk of the liquidations are coming from the smaller altcoins and Dogecoin, compared to yesterday, when Bitcoin and Ethereum took the largest share.

We also have had more bullish than bearish liquidations, with the bulls losing around $45 million and the bears taking a relatively smaller $36 million hit.

Today, the market is still consolidating but is skewed slightly in favour of the bears.

Can Bitcoin Make It Past $62,500?

So far, one of the biggest obstacles to a Bitcoin recovery remains the $62,500 price level.

The cryptocurrency has remained stuck under this price level for most of this week and now appears to be facing a possible price rejection.

<div class="paragraphs"><p>Bitcoin’s price action</p></div>

Bitcoin’s price action

So far, Bitcoin now trades underneath most of its major exponential moving averages and is teetering on the edge of an oversold RSI reading.

From here, we can expect Bitcoin's consolidation to continue and drops to the $58,000 zone are entirely likely.

This means that investors should be prepared for possible sell-offs from here.

The Ethereum Bulls’ Impressive Hold Out

Ethereum isn't the most bullish of cryptocurrencies at the moment. However, the stability the bulls have managed to enforce around the $3,365 price level has been impressive so far, with the cryptocurrency consolidating for three days straight without breaking below this price level.

<div class="paragraphs"><p>Ethereum Price</p></div>

Ethereum Price

Does this mean that Ethereum is out of the woods and is guaranteed an effortless rebound?

Not necessarily.

However, investors might want to watch what happens around $3,365 and not open new positions until ETH gives us a proper sense of direction.

Go, Kaspa, Go!

Kaspa ($KAS) has remained one of the most bullish cryptocurrencies on the market for weeks now.

According to the charts, Kaspa deserves the accolades because while the rest of the market is currently in a downturn and trading in the reds, the cryptocurrency is trading within an ascending channel and is even trending upwards on all timeframes as we speak.

<div class="paragraphs"><p>Kaspa in the charts</p></div>

Kaspa in the charts

Kaspa appears bullish and is likely to continue its ascent. However, investors should note that the cryptocurrency is close to the upper trendline of the formation shown above.

This means that if we do not see enough strong bullish action here to cause a breakout, a price reversal is highly possible.

False Breakdown On Flare?

Flare (FLR) appears to have entered a false breakdown below the $0.02355 price level sometime this week.

This breakdown is false, because as soon as the cryptocurrency broke below, we are now looking at a recovery, with FLR back above this price level.

<div class="paragraphs"><p>Flare's price action</p></div>

Flare's price action

The bulls will likely attempt to take advantage of this false breakdown, and the cryptocurrency should consolidate for a while at around $0.02355.

Ultimately, however, we are bound to see a recovery on the cryptocurrency, taking it straight up by more than  100% to the $0.047 resistance for starters.

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.

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