Key Insights:
The crypto market remains sluggish today, with Bitcoin hovering around $55,000.
A general market slump affects major altcoins like Ethereum and Solana.
While liquidations are lower than last week, leveraged traders still lost millions, with bulls slightly weaker.
A descending channel on Bitcoin's chart indicates short-term bearishness, and a break below $53,500 could trigger a steeper fall.
If important support levels break, Ethereum (below $2,810) and Solana (below $122) could see harsher drops.
If breaks do not occur, significant recovery may follow soon.
The crypto market showed little improvement over the weekend, evidenced by a 3.45% decline in total market cap and Bitcoin's stagnancy at around $55,000.
Crypto Market Overview
The crypto heatmap displays a widespread red, indicating that the ongoing slump is a general issue. Ethereum has fallen below the $3,000 zone, and Solana is back under $140.
Crypto Liquidations
Today's crypto liquidations are better than last Friday's $600 million, but leveraged traders still lost $278 million, with losses almost equally distributed between bulls ($164 million) and bears ($114 million). Despite the ongoing slump, bears remain in control, but bulls still have a chance to turn things around.
Descending Channel on Bitcoin
A descending channel on Bitcoin's daily chart indicates short to medium-term bearishness. However, Bitcoin has maintained support above the lower trendline, a positive sign. Investors should watch for a break below $53,500, which could signal a bearish takeover and a potential retest of $50,000 or lower.
Ethereum's Close to a Steep Drop
Ethereum is testing support around $2,900 - $2,800, with bears pushing to break below. If Ethereum falls below $2,810, a retest of the $2,500 zone might become inevitable.
Watch Out for Solana
Solana has been bearish but is approaching solid support around $122. The RSI on the daily chart shows neutral conditions, suggesting imminent price movement in either direction. As long as Solana holds this support, a rebound is possible.
Ongoing Recoveryon MultiverseX (EGLD)
Most cryptocurrencies are red on weekly and daily timeframes, but MultiverseX shows promise with a rebound from the descending trendline. It is now testing the $35.2 resistance. A sustained break above this level could lead to an upward explosion, while failure to break and close above may present a selling opportunity.
Disclaimer:
Voice of Crypto aims to deliver accurate and up-to-date information but will not be responsible for any missing facts or inaccuracies. Cryptocurrencies are highly volatile financial assets; please conduct your own research and make informed financial decisions.
Meta Description:
The crypto market woes continue this week. Here are the details of the ongoing slump, with Bitcoin hanging over a cliff and major altcoins like Ethereum and Solana facing similar threats.