Bitcoin and Ether Market Update September 23, 2021
Total crypto market cap lost $5 billion to its value for the period since Monday and now stands at $1.976 trillion. The top ten coins are all in green for the last 24 hours with Solana (SOL) and Polkadot (DOT) leading the group with 11.8 and 9.5 percent of gains respectively. At the time of writing bitcoin (BTC) is trading at $44,080. Ether (ETH) is at $3,120.
Bitcoin closed the trading day on Sunday, September 19 at $47,235 or right at the 21-day EMA on the daily chart. Bulls were rejected at the $48,860 horizontal resistance a day earlier and could not extend the rally to the zone above the psychological $50,000 mark. The coin ended the week with a 2.64 percent of prince increase.
The news about the indebted Chinese property giant Evegrande started to affect both the traditional and cryptocurrency markets in a negative way and they started moving downwards.
On Monday, the BTC/USDT pair dropped 8.87 percent, erasing $4,4240 from its market cap. The coin temporarily broke below the previously stable demand zone and touched $42,400.
The Tuesday session was no different and the biggest cryptocurrency continued to move South towards the already established support/resistance line near $38,000. It lost another 5.8 percent and ended the trading day at $40,587, hitting sub-$40k levels during intraday.
On Wednesday, September 22 bitcoin finally bottomed. Buyers stepped in and pushed the price all the way up to $43,569 completely erasing the losses from the previous day. The formed bullish engulfing candle was a sign of strength in the market as more and more participants re-entered into their long positions.
What we are seeing on Thursday is an engulfment confirmation candle, the second straight for BTC.
The Ethereum Project token ETH reversed to the downside last week, on September 16 and by Sunday it had already erased 7.9 percent of its value. The coin broke below the lower boundary of the uptrend corridor and reached the $3,300 horizontal support. The ether was 2.24 percent down for the week, trading in the wide range between $3,694 – $3,121 during that period.
On Monday, the ETH/USDT pair extended its losses below the mentioned area. It fell down by 10.6 percent and lost the previously solid $3,000 support line.
The Tuesday session was a continuation of the market correction. The ether dropped to $2,651 in the early hours of trading then partially recovered to $2,772.
The chairman of the U.S. Securities and Exchange Commission (SEC) Gary Gensler shared his thoughts on the cryptocurrency space late on Tuesday by mentioning it needs more regulation and enforcement to provide safety to investors comparing the industry with a casino from the Wild West.
The comments, however, were nothing new as the SEC’s position has been known for quite a long time. On Wednesday, the markets turned green again and ETH was no exception. It climbed up to $3,072, increasing by 10.7 percent.
As of the time of writing, the leading altcoin is still moving in the upward direction, currently trading at $3,120.