The recent crash in the crypto market has left many traders reeling after Bitcoin (BTC) reached $108K and then plummeted. Profit-taking was evident as BTC hit $100K, causing Ether (ETH) to drop below $4,000 to $3,480. BTC dominance surged to 56.8%, causing altcoins to suffer as a result. The market leader is currently trading at $97.6K, which is a 10% drop from its peak.
Despite the market turmoil, the Greed and Fear Index remains at 62, indicating strong demand for BTC and other digital assets. The Relative Strength Index (RSI) for Bitcoin on the weekly chart is at 69.86, signaling a bullish trend in the long term. However, the RSI on the daily chart has turned neutral, suggesting uncertainty in the short term. The chart provided by TradingView shows a sharp decline in the weekly RSI line, indicating a potential retest of $100K before the bulls take control again.
For altcoins, the outlook remains positive despite the recent market dip. The weekly RSI for cryptocurrencies outside BTC and ETH is at 62, reflecting strong demand for alternative digital assets. The Moving Average Convergence Divergence (MACD) indicator is still bullish, with the signal line below the MACD line. The green histogram suggests a price correction, but overall, altcoins are expected to remain bullish in the long run. This current dip could provide a buying opportunity for investors looking to enter the market.
It’s important to note that the information provided in this article is for informational and educational purposes only. Coin Edition does not provide financial advice, and readers are advised to exercise caution before making any investment decisions based on the content presented. The recent market crash has caused uncertainty among traders, but with key indicators pointing towards a bullish outlook for both Bitcoin and altcoins, there is still hope for a recovery in the crypto market. Stay informed and make wise investment choices to navigate through the volatile market conditions.
