Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.
Contents
- Toncoin cannot recover
- Bitcoin loses it
XRP’s short-term performance is under our radar as it struggles with the recent market volatility. XRP is facing difficulties keeping momentum above $0.60, which is why it is important to keep an eye on those price levels.
Around $0.55 is the first critical level to keep an eye on. Recent price action has prevented further declines by acting as a significant support level. If XRP will be able to maintain its current level, this might indicate a period of consolidation, allowing the market to settle in before making further moves. Nevertheless, a breakdown below $0.55 might allow for additional declines and possibly result in a retest of earlier support levels.
An important psychological threshold that has historically supported and opposed XRP is the $0.50 mark. The next area of interest is $0.50 should the price drop below $0.55. Investor confidence depends on maintaining this level because a decline below $0.50 might signal a more serious correction, undermining the optimistic outlook for the near future.
Upside $0.60 is still a crucial resistance level. The recent bullish potential of XRP has been constrained by its inability to establish a foothold above this level. A rally toward higher targets may be initiated and more buying interest may be attracted if the price can break and hold above $0.60. A breakthrough of this barrier would be a sign of an upcoming XRP reversal.
Toncoin cannot recover
Although trading volume for Toncoin has recently surged substantially, the price has not kept up with the increase and has remained disappointingly low. Pavel Durov, the creator of Telegram and a driving force behind Toncoin, was recently arrested, which certainly contributed to the cryptocurrency’s poor performance.
The news of Durov’s release and subsequent lockdown in France caused TON’s price to briefly rise, but this gain was fleeting as the price soon lost steam. Despite the high trading volume, this sluggish price action is indicative of a wider market fatigue in cryptocurrencies.
Related
Without many new innovations or price-boosting catalysts, the market has been stagnant. Toncoin is one of many assets in a state of uncertainty as a result of investors’ apparent caution and the lack of new exciting ventures in the cryptocurrency space.
It is crucial to remember that Toncoin still has a solid foundation in spite of these difficulties. It is supported by Telegram, one of the most resilient ecosystems in the cryptocurrency space. Toncoin’s long-term potential is well-founded due to the robust community support and the coin’s integration into the Telegram ecosystem. Even fundamentally sound projects, though, are finding it difficult to gain traction in the current market conditions.
Bitcoin loses it
After failing to break above the crucial $60,000 resistance level, Bitcoin has experienced a major setback. The cryptocurrency experienced a significant decline below the 200-day exponential moving average (EMA), and it is currently trading at about $58,000.
A critical technical signal this breakdown points to the end of the current local uptrend and suggests that the recent bullish momentum for Bitcoin has stopped. One of the main technical and psychological obstacles for Bitcoin has been the $60,000 mark. The recent decline is the result of strong selling pressure that has been applied to multiple attempts to break above this level.
Related
The inability to maintain a move above $60,000 is indicative of the uncertainty that the market is currently experiencing as well as the lack of bullish conviction that is necessary to push prices higher. It is especially concerning for traders and investors when the breakdown occurs below the 200-day EMA.
Long-term market trends are frequently seen to be best predicted by the 200-day EMA. Bitcoin is usually regarded as being in a bullish phase when it trades above this line. On the other hand, a possible change toward a bearish trend is indicated when the price falls below the 200-day EMA.
The local uptrend that started earlier this year may be coming to an end given that Bitcoin has now fallen below this crucial level. A further sign of doom is the relative strength index (RSI), which has fallen below 50 and suggests a loss of momentum. The idea that Bitcoin may find it difficult to regain its footing in the near future is further supported by the volume’s decline, which also seems to indicate a decline in buying interest.
Credit: Source link
