- Low levels of cryptocurrencies since Monday morning are nothing more than the tail of a Friday sale.
- In the moment, the mood has improved significantly. Over the past 24 hours, BTCUSD has gained 5.6% to $ 57.6K, almost at the same levels as seven days ago.
- It turns out that the cryptocurrency made a loud noise on Friday, but, in general, did not surrender the key support levels.
Low levels of cryptocurrencies since Monday morning are nothing more than the tail of a Friday sale. In the moment, the mood has improved significantly. Over the past 24 hours, BTCUSD has gained 5.6% to $ 57.6K, almost at the same levels as seven days ago.
It turns out that the cryptocurrency or Bitcoin made a loud noise on Friday, but, in general, did not surrender the key support levels, from which purchases resumed at the weekend and at the beginning of the session on Monday.
Bitcoin Fear and Greed Index
The fear and greed index remains in fear territory, around 33, while on Saturday it was 21 and on Sunday – 27. From the side of this indicator, the situation looks like another moment for buying on downturns, providing a repeat of the situation that was at the beginning October.
Bitcoin plunged into the $ 54K area on Friday, bouncing back to the 61.8% level from the July-November rally. Such a movement, if it is really over, can clear the way for growth to new highs: the bulls got the opportunity to take profits and re-enter “lower”.
On the other hand, BTCUSD remains below its 50-day moving average, which has acted as resistance for the past ten days. Now it passes through levels near $ 60K, which increases the significance of this mark. In the event of a sharp breakout, bitcoin can fly off to new heights by inertia.
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Otherwise, we can say that the bullish trend of the crypto market or bitcoin is broken, as there are too many sellers.
Ether has successfully withstood the pressure and showed active buying on dips below 4000. The main altcoin looks more popular with buyers, having managed to stay above its important round level as well as above the 50-day moving average, marking the continuation of the short-term bullish trend.
Thus, we can state that investor sentiment quickly returned to normal after a slight shake-up. However, it is worth keeping a close eye on the dynamics of bitcoin. If it does not return to a confident growth path, this could upset the entire crypto market, turning it towards a decline.
