The crypto market has recovered impressively over the last 24 hours, with Bitcoin breaking above $55,000 once again.
Despite recent gains, the market is still volatile, as shown by the liquidation figures and ongoing price fluctuations.
Analysts are closely monitoring Bitcoin's performance near the 25-day EMA to determine its next move.
Ethereum is showing signs of bullish activity but faces resistance at this EMA, similar to Bitcoin.
DogWifHat and Fantom are showing promising price patterns and could explode upwards soon.
The crypto market’s performance has improved strongly over the last 24 hours, with a 3.54% increase and a market cap above the $2 trillion mark once again.
Bitcoin has reclaimed the $55,000 price level and is now trading at around $56,900, with Ethereum sitting at $2,350.
The crypto heatmap
This recovery in the crypto market has brought some degree of normalcy with it, considering how the crypto heatmap has recovered from yesterday’s 41/100 to an even more neutral 46/100 as of writing.
The crypto fear and greed index
So far, some of the top gainers in the market include Popcat, Fantom, Artificial Superintelligence Alliance, Bittensor and DogWifHat, all of which have between 10% to 17% price increases over the last 24 hours.
Conversely, some of the biggest losers include Helium, BitTorrent, Gala, Tron, and Monero, which have experienced 0.5% to 5.95% price declines over the last 24 hours.
The crypto liquidation heatmap
The crypto market has seen relatively strong liquidations over the last 24 hours, with $127 million taken overall from leveraged traders.
Interestingly, the bears suffered the worst of it, with $95 million in losses compared to the bulls’ $32 million.
In sum, the market is now skewed in favor of the bulls today, with the buyers gaining momentum over the sellers.
According to the charts, the bulls pushed Bitcoin straight up above the $56,800 price resistance yesterday with relative ease.
However, the bears were especially active at the 25-day EMA, around $58,238, and pushed the cryptocurrency into rejection from this price level.
Bitcoin’s descending channel
With this being said, we should expect Bitcoin’s price action from here to depend strongly on what happens with the 25-day EMA around $58,238.
Investors should watch how Bitcoin behaves around this price level because if the bulls fail to cause a break above, the bears will take this opportunity to crash prices to as low as $50,000 or even lower.
To be fair, Ethereum is showing some signs of bullish action, especially since its slump to the bottom of the descending channel shown below.
However, is this enough?
Ethereum’s price action
The charts show that Ethereum isn't out of the woods yet and that the bulls will likely have to work even more to establish their dominance.
As the charts show, Ethereum has rallied somewhat but is struggling with the $2,388 resistance—which is still significantly below the $2,500 25-day EMA.
Ethereum's bulls do not seem dominant, and investors should approach them with caution.
Speaking of coiled springs, DogWifHat has one of the healthiest price actions on the market.
The charts show that the cryptocurrency is trading within a falling wedge, which is a nicely bullish formation, as long as the memecoin completes its bearish consolidation.
DogWifHat’s price performance
However, as shown, DogWifHat has also formed a small ascending trendline within this formation, which means that even during consolidation, the bulls maintained their strength.
If the bulls manage to keep their momentum, we should see another retest (or breakout) from the upper trendline of the minor channel.
Such a breakout would also coincidentally be a break from the descending wedge and ignite one of the biggest DogWifHat rallies ever.
Fantom is one of the most bullish cryptocurrencies among the top 100 in terms of 24-hour price movement.
After jumping to the upside by around 13% in the 24 hours before writing, there might be signs that the cryptocurrency is just getting started.
Fantom’s price performance
As shown in the charts, the cryptocurrency is now attempting to break out from the upper trendline of the wedge above.
Investors must consider two things though, before opening a position.
First, we need to see a spike in trading volume and liquidations to confirm that Fantom has indeed broken out.
The second is that the Fibonacci extension shows significant resistance around $0.5, where the bears might attempt to pull off a false breakout.
This said, only enter Fantom with a sufficient close above $0.5 with a daily candle.
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.