The crypto market is experiencing a slight downturn, with a 2.3% decline in market cap.
Bitcoin is facing resistance at the upper trendline of a descending channel and might experience a further drop.
Ethereum is also facing resistance and could decline more sharply than Bitcoin.
ENS is forming an ascending triangle pattern and could break out upwards if it rises above the $25.6 resistance.
Ethereum Classic has broken above the $24 resistance and is aiming for a larger breakout around $25.4.
The crypto market has stayed mostly the same over the last 24 hours.
There is an ongoing 2.3% decline in the total market cap, and the market has turned red, as shown below. However, Bitcoin is still strong above the $66,000 mark,
The crypto market's heatmap
In the last 24 hours, the market’s leveraged traders have also lost around $126 million, with the majority coming from Bitcoin’s bulls.
The crypto liquidation data
Data from Coinglass shows that the bullish liquidations were harsher than the bearish ones, with the bulls losing $96 million compared to the bears' $26 million.
This difference in market conditions shows that crypto is tilted slightly in favour of the bears today, and investors should remember to approach with caution.
Bitcoin has been trading in a descending trendline since February of this year and has experienced rejection after rejection at the upper trendline of this formation.
Bitcoin’s price action
As shown, it appears that the ongoing market downturn is happening because of another retest of this upper trendline.
Bitcoin experienced a rejection from $68,500 yesterday and is now trading at around $66,600 as the bears actively try to pull it underwater.
The bulls have a chance to initiate a comeback around $64,500.
However, the further down Bitcoin falls, the more at risk of a harsh freefall it becomes.
Ethereum is facing a rejection from the $3,500 price level, just like Bitcoin, as shown in the snapshot below:
Ethereum’s rejection
The snapshot also shows that if the bulls allow this rejection to continue for much longer, Ethereum remains at greater risk of a freefall than Bitcoin and might decline towards $2,850.
However, this is last-resort resistance, and any breakdowns should be monitored.
Ethereum Name Service, or ENS, has been trading on top of an ascending trendline for months, but the $25.6 resistance keeps it from ascending any higher.
ENS’ price action
This relationship between $25.6 and the trendline has formed an ascending triangle formation, as shown above, and ENS is looking for a chance to break to the upside.
The cryptocurrency has just rebounded off the lower trendline, and is making another charge towards $25.6.
This is where to watch out for because a sustained break above $25.6 could birth a rally towards the $37 - $40 zone.
According to the charts, Ethereum Classic is testing the $24 resistance, as shown below:
Ethereum Classic’s price action
At the time of writing, the cryptocurrency has established a break above but is attempting to finalize things with a daily candle close.
In actuality, Ethereum Classic is trading inside a descending channel, and the $24 mark is only the first step towards a break above this formation:
Ethereum Classic’s price action
If we see this break above $24, the cryptocurrency will likely attempt a major breakout around $25.4, which would be a major determinant of its future.
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.