Bitcoin and Ether Market Update June 30, 2022

The total crypto market cap decreased by $110 billion for the period since Monday and now stands at $852 billion. The top ten coins are all in red for the last 24 hours with Solana (SOL) ether (ETH) being the worst performers with 9.1 and 8.6 percent of losses respectively. At the time of writing bitcoin (BTC) is trading at $19,050. Ether is at $1,017.

BTC/USD

Bitcoin closed the trading day on Sunday, June 26 at $21,036 in its first losing session after a three-day-long upward movement. The $22,000-$22,500 area is viewed by many as a dynamic resistance mainly because it is where the 200-day Moving Average (MA) is currently sitting on the weekly chart. This line usually marks the begging or end of a bull market. Bitcoin ended the week with a 1.8 percent increase.

On Monday, the BTC/USDT pair continued to trade in direction of re-testing the horizontal support below $20,000. Bears pushed the price down to $20,700 where the lower boundary of the long-term uptrend corridor is located.

Things did not change much on Tuesday and the biggest cryptocurrency dropped down to $20,200, erasing almost entirely all gains from last week’s rally. The 24-hour average trading volumes started to pick up pace as the selling pressure intensified.

The mid-week session on Wednesday came with a fourth consecutive red candle on the daily chart. Bitcoin reached $19,886 intraday before closing at $20,111. The bear flag pattern came into play as the recent reversal to the upside was nothing but a bearish retest.

There is a big chance however that the coin makes a similar move to the one from July 2021 when the initially created low was re-test 2 times before BTC started moving in the opposite direction.

As of the time of writing, the price is hovering around $19,000.

ETH/USD

The Ethereum project token ETH rallied almost 46 percent from its $880 low to hit $1,281 on Sunday, June 26. Buyers almost made it to the 21-day EMA but were forced to retreat quick enough as trading volumes could not support an extended reversal of the downtrend. Still, the coin managed to add 6 percent to its market cap on a weekly basis in a rare demonstration of strength.

Sellers took advantage of the bear flag formation on the daily chart and started adding more to their short position which resulted in a significant pullback in the coming days. On Monday, the ether moved down to $1,190, then on Tuesday it lost even more territory and reached the $1,142 mark.

The third day of the workweek was when the leading altcoin broke below the short-term local resistance at $1,125 and hit $1,100 at the end of the session, erasing a total of 12 percent since the Sunday peak.

What we are seeing midday on Thursday is a re-test of the $1,000 horizontal support.