After the US stock market suffered a major wipeout on Tuesday, the broader crypto markets have also slowed down.
On Thursday, Bitcoin continued to struggle to regain support at $57k. At press time, it was exchanging hands at $56.6k. Showing some signs of recovery the previous day, Bitcoin had managed to pull back from $55.6k to chase 50 EMA resistance at $59k. However, it failed to break out causing a sharp downward move and erasing the gains.
While Ethereum is also red, down 0.77% in the past 24 hours to $2386, Solana and Cardano have shown some strength against the odds. Solana prices are up 3.95% day-on-day. Currently, it is trading at $133.57. Cardano leads the intraday gains amongst the major altcoins, gaining an impressive 4.98% in the last 24 hours. At press time Cardano was trading at $0.33.
When Will Bitcoin And Other Cryptos Go Up Again?
Last week was not great for the broader crypto market. Both Bitcoin and Ethereum shed over 8% of their value. Amongst the major altcoins, Solana had dropped nearly 18% followed by TON reporting 16% losses week-on-week.
This week traders anticipated that the markets could recover and that the outflow of big funds from Bitcoin ETFs would come to a stop. While the market showed resilience on Monday and Bitcoin gained over 4% to go near the $60k mark briefly, it failed to break out.
And then, on Tuesday the US Stock markets crashed pulling Bitcoin further down. While there are reports from analysts predicting a $40k Bitcoin, the question is are we already in grip of a bearish trend?
The answer is yes. But then the chances of a recovery are also not as bleak. First off, the bearish trend has set in. Since Aug 26 when Bitcoin crossed the $64k mark briefly, it has fallen since. Despite minor attempts to shoot up, all attempts for a bigger breakout beyond the $63k mark have failed to materialise.
Crypto markets are not looking to go up again in the short-term to the levels where we will see BTC making a new ATH. However, a more realistic short term target for BTC would be $63k.
A slight momentum in the US markets coupled with a favourable decision on rate cuts from the Federal reserve could quickly make Bitcoin shift gears. However, until then it is great to follow intraday levels. The trend for Bitcoin is bearish sideways.
