Bitcoin fell below $40,000 in the early weekend hours and continued to fall as tensions on the Ukraine-Russia border rose and inflationary worries remained. Ether, as well as nearly all other major cryptocurrencies, fell in value.
A phishing attack of OpenSea, the leading NFT platform, may have scared investors away from crypto even more. Bitcoin was trading around $38,700, down 3.3 % in the last 24 hours and at its lowest level since February 3. Ether, the second-largest cryptocurrency by market value, was trading for just more than $2,600, down about 4% and at its lowest level since the first week of the month.
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Bitcoin (BTC)- The bullish comeback was met with rejection around $44,600, resulting in a pullback to $39,650. Meanwhile, the current increase in selling pressure, as seen by the 4.65 % drop in the previous 24 hours, resulted in a $39,650 deficit.
When the currency reached $44,650, the price of Bitcoin (BTC) increased by 36%. Moreover, sellers put up solid resistance at this point, leading in a 6.81% retracement to $40,000. The buyers made another effort to break through the overhead resistance on February 15th, but the second rejection with an evening star pattern showed that traders are selling on rallies.
The coin price has been dragged below the $39,600 support, posing a threat to the downtrend’s continuance. Before the sellers drop the currency below the January low ($33,000), traders should expect a retest of the collapse. In any case, traders should keep an eye on this support level because a probable reversal might indicate a bear trend bottom.
The current correction has sent the BTC price below the 20- and 50-day exponential moving averages, recovering a negative sequence among the key EMSa (20, 50, 100, and 200). A bearish crossover of the MACD indicator indicates a sell signal. Furthermore, a breach under the neutral zone will amplify the growing bearish momentum.
Ethereum (ETH)- fell 15% from $3,300 after a modest retreat to retest the failed resistance trendline. Even so, the current cryptocurrency market sell-off emboldened sellers, causing the pair to fall below the $2,820 support, indicating that the sell-on-rally mindset is strong.
The price rebounded from the $2,313 support level in late January, culminating in a 42 % comeback surge. Buyers were able to break through a long-standing declining trendline on February 10th, reaching $3,281.
The cryptocurrency fell from this position and was anticipated to retest the pierced trendline. Consequently, the buyers were unable to maintain the comeback and, as a result, fell the $2,800 support following a double top pattern crash.
The MACD indicator lines were on the approach of crossing into positive territory during the recent comeback. The continuous sell-off, on the other hand, has produced a bearish crossing, signaling a sell signal. The slope of the daily-Relative Strength index(49) falls below the equilibrium, signifying a bearish sentiment.
Ethereum is slowly nearing the support level of $2,575 and declining trendline. If buyers hold this level and return the cryptocurrency higher, crypto traders should predict another run to $3,300. Nevertheless, if sellers break through this near-support level, the coin’s price would drop another 10% to $2,300.
The bears are in command, as indicated by the downward-sloping 20, 50, and 100-day EMAs. Furthermore, the 100 and 200 EMAs on the approach of breaching negative would stimulate additional breakdown.
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