Over the last day, the world of cryptocurrencies has seen a dramatic shakeup, with a significant market crash dashing hopes of a bullish leap. This downturn was set off by a series of macroeconomic events, wiping out gains made over the previous two months. Interestingly, altcoins such as Shiba Inu and Litecoin have demonstrated a modest bounce back from their monthly support levels, indicating a possible reduction in sell-off momentum.
Snapshot of the Current Crypto Market
The crypto market has experienced considerable volatility in the past 24 hours, with prices plunging before finding some stability. Bitcoin briefly touched the $25K mark, instigating a market-wide sell-off. At present, the global crypto market has seen a decline of more than 6%. A combination of factors such as SpaceX offloading its Bitcoin holdings, the Evergrande crisis in China, and concerns over interest rate hikes have been blamed for the downturn. At the time of writing, liquidations for Bitcoin exceeded $499 million, while Ethereum’s liquidations reached over $309 million. Over the past day, long positions worth approximately $834 million have been liquidated.
However, with the SEC unveiling encouraging news on the Ethereum ETF, the market’s decline has halted and a rebound has begun. Currently, early buyers of Shiba Inu and Litecoin during the dip are witnessing minor profits.
Analysing Shiba Inu (SHIB) and Litecoin (LTC) Prices
Shiba Inu fell below its rising wedge pattern’s support line at $0.0000091, triggering a substantial sell-off and pushing it towards the robust support zone below $0.000008. As of writing, SHIB’s price is at $0.00000868, a decrease of over 1.7% in the last 24 hours. Bulls are expected to defend the breakout point at $0.000008, potentially leading to a bullish surge. If the price maintains its rebound momentum, SHIB’s price could rise to the 0.38 Fib channel and potentially exceed the EMA20 trend line at $0.0000091.
Litecoin’s price plummeted from $72, settling just above the significant support level of $60. This suggests that bearish forces are in control. As of writing, LTC’s price stands at $64.5, a drop of over 13% from yesterday. The RSI indicates an oversold condition, suggesting a potential stabilization or upcoming rebound. The bulls are currently defending the support level around $60. If the price holds its rebound from this level, it might face resistance at $75.8.
Looking Ahead: Crypto Market Analysis
For those interested in the crypto market analysis, the current situation suggests a potential positive sentiment if LTC price clears its immediate hurdles. Traders entering during dips could drive a surge above the 0.618 Fib channel at $83. However, a break below the support of $60 could trigger another bearish rally for LTC’s price, potentially leading to a spike in short positions. In such a scenario, Litecoin might head towards its next support of $47.
Keeping a close eye on the market trends and making informed decisions is crucial in the dynamic world of cryptocurrency. Tools like cryptoview.io can be of immense help in this regard, providing real-time data and insightful analytics.
