A day on the crypto market has been speckled with signs of cautious undertaking and broad losses, marked by a downtick for many cryptocurrencies. Taking a microscope to the most prominent among them, BTC saw a decrease of 1.22%, while Ethereum dipped by 1.09%. Binance Coin (BNB) also nosedived by 0.28%, though Ripple (XRP) swam against the current with a promising 0.86% increase. The guarded sentiment of traders and slumps in values indicate an atmosphere of unease, with investors unsure of the direction the crypto market will take.
Despite the general trend, it is worth noting that some cryptocurrencies are showing resilience. For instance, Bitcoin was prevented from sinking even lower by bullish efforts on September 11. However, crypto market analyst Jamie Coutts foretells potential further distress for Bitcoin should the tightening cycle extend. Similarly, Ether slump was hindered by solid buy-in at the lower price point, nevertheless, the fate of this cryptocurrency is largely dependent on the volatile dance between bulls and bears at the 20-day EMA.
Adding to the quandary, altcoins are not faring any better. For instance, Dogecoin, although currently holding steady, is expected to snap out of its tight range, and the direction it breaks towards is yet unknown. Meanwhile, BNB has bounced off the psychological support and could very well be at the mercy of the bullish efforts to keep it afloat. In this fickle market, the upside and downside elements go neck to neck like in XRP where the range-bound activities may continue unless the upper limit is broken.
It is indeed a curious case study to observe Cardano, Solana and Polygon circumnavigate their way through this tremulous economy. Cardano may risk a drop if sellers seize control and turn every minor rise into a selling opportunity. Solana must fend off the bears at the 20-day EMA to ensure it doesn’t re-approach the vital support. As for Polygon, the resumption of the downtrend will be inevitable if the recovery is stalled by the bears.
From the broad strokes of analysis, we can glean a few interesting elements. The biggest takeaway being the persistent tug-of-war between bearish and bullish tendencies that shapes the crux of the situation. If the bears break the pivotal supports, the market would see a further dent. But, if the bulls manage to sustain the prices above the vital EMAs, we could see a bounce back, whooshing investors on a wild ride. Yet, the path ahead is foggy filled with mixed signals with cryptos grappling to find their footing in the jigsaw puzzle that is the present market. It poses an intriguing question – will the market celebrate a resurgence, or will it continue wallowing in the shadows? Only time will tell.
Source: Cointelegraph
