BTC Finds Support Around $39.2k?
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BTC 4-hour candle chart, 4/12/22
Bitcoin has been through a strong downtrend over the last week and a half or so.
Yesterday, it found itself testing down to $39.2k before finding some strong support in that range. It’s currently attempting to test upwards after testing this range. It’s currently settling around $40.3k.
The MFI is attempting to exit oversold territory after bordering it for a while, and briefly crossing over into oversold territory yesterday. The MACD was testing downwards strongly yesterday, however now it’s making an attempt at testing upwards.
Whether or not BTC will be able to break this downtrend remains to be seen. It should be noted that volume is also dipping fairly significantly. This could likely indicate that we could see either an influx in buy-side or further sell-side pressure, with BTC still having yet to definitively break this downtrend. Until that happens, we could see further downward movement or sideways movement.
The overall cryptocurrency market cap is currently just below $1.9 trillion with a volume of approximately $99 billion. BTC dominance is at 41% with ETH dominance at 19.5%. This means that altcoins in the space are making some strong recoveries and taking some of the market share from BTC as compared to yesterday during the strong dips.
ETH 4-hour candle chart, 4/12/22
Ethereum is also following BTC’s movement fairly significantly today as well. It finds itself attempting a recovery of its own. Yesterday it found itself testing below $3k down to $2,950 before finding support. As of now, ETH looks as if it’s attempting a strong recovery, however, it remains to be seen whether BTC’s movement will allow the broader space to recover as well.
ETH will likely continue to follow BTC along with the rest of the market. For now, its MACD and MFI are trending upwards strongly and it looks like if BTC continues this movement, Ethereum could as well.
