From Analytics Team, Giottus Cryptocurrency Exchange
The past week has been volatile for the crypto market as Bitcoin (BTC) fell from $ 36,000 to $ 29,000 by midweek before making up most of the losses later. BTC was trading at $ 31,000 to $ 32,000 – an important range of support that may determine the next few weeks of activity in the cryptocurrency market.
Most altcoins followed BTC over the course of the week without a breakout of their own. In this volatile scenario, traders are likely to avoid leveraged positions.
BTC fell below $ 30,000 in the middle of the week amid fears of China cracking down on BTC mining rigs and a lack of support from top institutions. JP Morgan strategists believe the overall signals for BTC remain bearish. About $ 6 billion worth of options expired on Friday, causing the market to decline 8 percent overnight.
BTC has had the Wyckoff pattern since early January and is now potentially entering a growth phase. Breaking the $ 42,000 mark will be key to a full blown bullish divergence. Altcoins can grow disproportionately in this case.
On the adoption news, Paraguay will be the second country after El Salvador to propose a bill authorizing Bitcoin as legal tender. On Friday, El Salvador announced it would be distributing $ 30 worth of bitcoins to every adult in the country. BTC becomes legal tender in El Salvador on September 7th. The country has already seen many developments in the cryptocurrency space, including 1,500 BTC ATMs, geothermal BTC mining, and foreign investment in the country.
Microstrategy, the largest institutional buyer of BTC, added another $ 500 million worth of BTC to its portfolio earlier this week.
BTC: Technical Analysis
BTC has created lows in smaller timeframes (
The BTC dominance chart (share of BTC in the total market) has recently formed a rising wedge, suggesting that dominance could decline significantly in the coming weeks, indicating strong growth in altcoins.
Support: $ 29,700, $ 28,500, $ 27,300, $ 25,600
Resistance: $ 41,500, $ 39,800, $ 36,500, $ 32,100
Crypto prices from 12:15 p.m. IST on June 27, 2021 (Source: coinmarketcap.com)
Top 5 winners of the week:
- INO coin (INO), 170.25 percent
- Dero (DERO), 78.24
- Celo (CELO), 77.97 percent
- Constellation (TAG) 43.47 percent per
- Quantum (QNT), 19.75 percent
Top 5 losers of the week:
- Kusama (KSM), 45.23 percent
- Internet computer (ICP), 39.96 percent per
- Amps (AMP), 36.6 percent
- NEAR Protocol (NEAR), 36.44 percent
- Phantom (FTM) 36.05 percent