Date: Thu, Jan 09, 2025, 11:48 AM GMT
The cryptocurrency market has faced a sharp downturn over the past 72 hours, with Bitcoin (BTC) dropping from $102K to its current level of above $93K. Along with this, the rise in BTC dominance to 57.90% has triggered a significant decline in major altcoins.
This market shift has led to notable drops in top altcoins Ethena (ENA) and Ondo (ONDO), both of which are now testing critical support levels. These levels could potentially act as springboards for a rebound.
Source: Coinmarketcap
Ethena (ENA)
Ethena (ENA) has been in a downtrend since its rejection at $1.30 on January 05. The recent market correction saw ENA falling from $1.13 to $0.92, bringing it into a significant support zone between $0.85 and $0.92. However, $ENA has managed to hold this level and is currently trading slightly above it at $0.93.
Ethena (ENA) 4H Chart / Coinsprobe (Source: Tradingview)
A successful defense of the current support zone could pave the way for a rally toward $1.13 or even the $1.30 resistance level. Conversely, a breakdown below $0.85 could result in a further decline to $0.76.
Indicators:
The MACD suggests bearish momentum is waning, with signs of a potential crossover soon.
The RSI is hovering near the oversold region at 23.72, indicating that the token might be oversold and due for a recovery.
Ondo (ONDO)
Ondo (ONDO) has seen a similar trajectory, dropping from its local high of $1.60 to its current level of around $1.24. The token is testing a crucial support range between $1.17 and $1.30, a zone that previously acted as a strong rebound area.
Ondo (ONDO) 4H Chart / Coinsprobe (Source: Tradingview)
If $ONDO holds the support, it could stage a recovery, retesting $1.30 and possibly moving toward $1.50. A breakdown below $1.17, however, could lead to further losses, with downside level of $1.10.
Indicators:
The MACD shows increasing bearish momentum but could signal a reversal soon if buying pressure increases.
The RSI is also in oversold territory, suggesting the possibility of a bounce.
What’s Ahead?
Both ENA and ONDO are exhibiting resilience at their respective support levels. Key technical indicators like the MACD and RSI are signaling oversold conditions, increasing the likelihood of a rebound.
However, the tokens' performance will also depend on Bitcoin's ability to hold its critical $91K-$94K support range. If BTC stabilizes or rebounds, it could provide a broader market lift, enhancing the recovery prospects for altcoins.
Get more updates on: coinsprobe.com
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Always conduct your own research before investing in cryptocurrencies.
