It has been over a week since the cryptocurrency sector is in hot water. It was on December 4, 2021, when the overall crypto market ended up facing a huge plunge with respect to prices and valuation. Initially, the downtrend from December 4, 2021, went on until December 6, and cryptocurrencies started recovering afterward.
Looking at the growth of cryptocurrencies, it was expected that they will move above the recovery point. Unfortunately, cryptocurrencies have started experiencing a downtrend starting November 8, 2021. As a result, all major cryptocurrencies are looking at a downtrend and so far, things are not looking good for them.
This is when the prices of BTC and ETH are experiencing a downtrend and have their trends moved to the bearish zone.
The data from TradingView shows that Bitcoin’s price is currently at $48,054.91 after experiencing a 2.75% plummet in the past 24-hours. Even Bitcoin’s performance in the past 7-days has been in the negative direction, plummeting by 15.11%. At present, Bitcoin’s market capitalization is down to $907.95 billion.
The performance graph for Bitcoin shows that the digital asset is still not out of trouble. Just as Bitcoin managed to cross the $50k per BTC price, the bears started selling Bitcoin. This means that the sentiments of the investors are still negative.
At present, even the bulls are not willing to go for heavy purchases during the dip. On the other hand, firms such as MicroStrategy and countries like El Salvador have been investing money to acquire Bitcoin during the dips.
They are trying hard to bring the price of Bitcoin (BTC) close to the $55k per BTC figure and cross it in the process. If Bitcoin’s price manages to cross the $55k per BTC figure, the bulls will start pouring in money to push it across the $60k per BTC. As of now, the $60k per BTC figure is the strong resistance point for Bitcoin. If BTC manages to cross the $60k per BTC figure, then it may grow all the way up to $65k per BTC.
Ethereum (ETH) is also facing the same downfall in terms of its price. The data surrounding ETH shows that its price has experienced a 5.76% dip in the past 24-hours. As for the past 7-days, the price of ETH has dipped by 10.33%, bringing its price down to $4,085.63.
Even for ETH, the bears are trying to pull its price below the $4k figure. If that happens, then the bears may trigger mass-selling with aim of bringing its price down to $3.7k. The data shows that the RSI for ETH is in the negative zone. This means that ETH may also be moving in the downward direction in the upcoming days.