June 29, 2022

Markets Today: Bitcoin, Altcoins Regain Footing After Latest Crash

 

Here is what the market has for you today morning.

Market players purchased BTC quickly following the sharp sell-off on Saturday. Trading volume surged on Saturday, though it leveled off on Sunday as investors await equity markets opening on Monday. However, the technical outlook shows that Bitcoin has seen weak buying despite near-term oversold gestures. Ethereum also takes a breather, yet to confirm a breakout.

Market Leaders

  • Bitcoin – $48,190 (+0.2%)
  • Ether – $4,043 (+1.4)

Bitcoin gradually recovered towards $49,000 over the past weekend following a crash. The recent market fall had BTC losing almost $10,000 within an hour, hitting the lows near $42,000 during the first sessions on Saturday. The sudden fall came as the financial markets suffered a broad-based sell-off. Omicron COVID-19 variant has catalyzed fear in the capital space, translating to plunges.

Saturday’s flash crash marked BTC’s massive price decline since the massive plummets in May when BTC fell from more than $43,000 to $32,000 within 24 hours, suffering an almost 27% drop.

The trading volume of nearly $20 billion across 11 top centralized exchanges attained a higher level on Saturday (data from CoinDesk). However, the volume plummeted sharply on Sunday as market participants await traditional markets opening.

Meanwhile, investors purchase BTC dip quickly than May’s drop aftermath. Some like El Salvador declared buying the recent BTC dip. While writing this article, BTC traded at $49,170 after a 0.2% gain within the last 24 hours (CoinDesk data). On the other hand, Ether surged 1.4% within the same timeframe to hover at $4,153.

Other digital coins also dropped during Saturday’s flash crash. However, most alts, led by ETH, have displayed resilience compared to BTC. Over the past seven days, Ether lost 3.7%, while Bitcoin dropped 14.6%. For now, predicting crypto prices in the coming few days appears challenging.

Technical Outlook

Before Saturday’s crash, BTC enthusiasts were optimistic, pushing the coin towards its 7-day price range’s bottom. Lower support near $53,000 may stabilize the recent retracement. Upside momentum on weekly and daily charts slowed, meaning $60,000 can limit upside move. Meanwhile, the near-term bullish outlook remains intact as 100-day MA is on an upward slope. Moreover, the RSI remained beneath the neutral region, though buying stayed weak after the oversold condition on 26 November.

However, the above narrative will depend on equity markets reopening on Monday. Remember, the financial markets have struggled amid Omicron COVID variant fears.