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The cryptocurrency market has fallen by $ 4 billion in its valuation, which stands at around 3.5%. The major cryptocurrencies were not able to show signs of a corrective rally or increase. This led to small digital assets in terms of market capitalization and ERC20 tokens down more than 10%.
The price of the bitcoin has plummeted from $ 3,587 to $ 3,370 today, which means that the largest cryptocurrency is actually down 6% from the daily peak.
This low daily volume is a worrying sign, as a price drop of between 5% and 10% usually translates into an increase in daily volume as sales volume increases.
If the volume of activity does not increase but decreases again, this means that the activity is in free fall with a high sales pressure.
It will also have small sales orders from bears in the market.
Meanwhile, the price of Ethereum also had similar difficulties to Bitcoin.
This cryptocurrency also saw a decrease in daily volume.
In the last week, the volume of the price of Ethereum fell from $ 2 billion to $ 1.6 billion.
This is a decrease of almost 20 percent.
Will they hit the bottom line?
Many traders have defined a bottom line for Bitcoin this week after seeing the strong recovery of the cryptocurrency from a minimum of $ 3,000 with the $ 3000 support level still in place.
But if Bitcoin does not come out of the most important resistance levels at $ 3,700 and $ 4,000, an appropriate fund can not be declared, according to CCN.
Tonight, Bitcoin is still in a narrow range between $ 3000 to $ 3,500.
A cryptocurrency analyst with an online name Hsaka said, "Rejected from the previous support, it appears that it is forming a downtrend channel on LTFs (ie, a way to display a downward trend).
"I often use channels for confluence with horizontal levels (both black horizontal rejections were also at the border of the channel)."
Edward Morra, a digital asset trader, warned that the price of Ethereum could drop to $ 55 with a 35% decline.
He said: "If the bulls of the ETH lose this support and the minimum set at $ 83, it is virtually empty until the next significant support around $ 55 to $ 45, another 35% lower from here."
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