Crypto Markets This Week – Bitcoin, Ethereum Consolidate, MATIC Leads Gains
Despite the current crypto winter, the crypto market appears to have begun the week on a healthy note.
Over the weekend, the market has been in the green, even adding one more notch to its market cap's percentage and pushing the figure to $929.7 billion.
Over the weekend (and even in the last 24 hours), Ethereum has outperformed bitcoin and has jumped 3.02% to a high of 1,346.
Bitcoin made some gains over the weekend as well, but was only able to move 1.19% to the upside, and is trading at 19,356 at the time of writing.
Polygon, on the other hand, is one of the best-performing cryptocurrencies among the market's top cryptos. Polygon, over the last 24 hours, has gained 8.12% at the time of writing. It has also experienced a 144% increase in trading volume over the last 24 hours.
Below, we analyze why these cryptocurrencies may have moved the way they did, and where they are likely to be headed next in terms of price action.
Polygon (MATIC) Price Action
Polygon appears to have been trading in an ascending channel since mid-September. This recent move to the upside happened after the cryptocurrency hit the support of this channel around the $0.78 zone.
As illustrated above, Polygon appears to have broken past its 20,50 and 100 period moving averages and is now testing the upper support of the ascending channel.
If the bulls manage to maintain their upward momentum, Polygon may break through this support and begin another rally to the upside.
On the other hand, if the bears manage to take control, the price of Polygon may move further downwards to retest the lower support of the channel.
The RSI on the 4-hour timeframe so far has not displayed oversold conditions despite the pump. This may indicate that further price movement to the upside is possible.
Ethereum (ETH) Price Action
Ethereum has moved past its simple moving averages as well and appears to now be trending upwards after hitting the $1,258 support on the 4-hour timeframe.
Ethereum is now moving in for a retest of the local resistance zone around $1,345. Depending on what happens next between the buyers and sellers, Ethereum may break through the upper support and trend towards the $1,500 – $1,600 zone, or bounce and reverse to a retest of the lower support around $1,298.
After a brief visit to the oversold zone, the signal line reversed on Ethereum and is now hovering around the 61.17 zone, signaling a possible test of the $1,400 zone.
Bitcoin (BTC) Price Action
Bitcoin's move to the upside was a relatively small one as illustrated by the 30-minute-timeframe chart below.
According to the chart, bitcoin has remained relatively stagnant, consolidating over the long term as the market decides on where the cryptocurrency might be headed next.
The relative pump on bitcoin only happened within a few hours and brought the price of the cryptocurrency from a low of $19,100 to a high of $19,700.
The RSI on Bitcoin's 4-hour timeframe shows a bearish crossover about to happen and may signal a small correction on bitcoin's part as its consolidation continues.
Gainers And Losers
The crypto market, over the weekend, had its fair share of gainers and losers, with cryptocurrencies like Polygon, Aave Ethereum, Cardano, and Solana leading the charge.
Cardano for example is up by 2.88% at the time of writing, Aave is up by 6%, and Solana is up by 2.93%.
However, in a game of winners, there are bound to be losers.
While most of the cryptocurrencies on the market have performed relatively well over the weekend, others have performed rather poorly.
Examples include MakerDao, with a 2.54% drop, and LEO with a 1.4% drop. Huobi token (HT) on the other hand, was relatively unaffected in terms of price but lost as much as 5% of its market cap.
Disclaimer: Voice of crypto aims to deliver accurate and up-to-date information, but it 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.