The overall crypto market is still in retreat from its weekend highs. Meanwhile, analysts have debated whether things show signs of recovery or capitulation. Since their weekend highs of just over $1.1 trillion, crypto markets have retreated by around $50 billion. Total market capitalization has lost almost 3% on the day, and prices are heading south again at the time of press.
Resistance is proving to be too much to overcome, and the bear market consolidation is continuing. Market observers and analysts are finding evidence for both scenarios, a recovery and capitulation. 147 days have passed since Bitcoin closed above $25,000, and the result is that investors are less sure that the $20,000 support will hold. Backing these concerns are persistent global financial and macroeconomic tensions, which escalated on Nov. 7 after European Union officials expressed concerns over the $369 billion U.S. Inflation Reduction Act. There's additional uncertainty coming from the Nov. 8, U.S. midterm elections which will determine which party controls Congress. Currently, Democrats have a majority in the Lower House, but a change in this status could ease President Biden's future spending plans.
Bitcoin has been trading inside a tight range between $19,500 and $20,715 for the past few days. The failure to push the price back above $20,715 indicates that bears are trying to flip this level into resistance. The downsloping 20-day exponential moving average (EMA) and the relative strength index (RSI) in the negative territory indicate advantage to sellers. If bears sink the price below $19,500, the selling could intensify and the BTC/USD pair could drop to the next support zone between $18,600 and $17,567.45.
The bulls are expected to defend this zone aggressively because a failure to do so could signal the resumption of the downtrend. The pair could then slide to $16,764. Contrary to this assumption, if the price turns up from the current level and breaks above $20,715, it will suggest that bulls are back in the game.
That could push the price to the 50-day simple moving average (SMA). This level may again act as a resistance but if bulls overcome this barrier, the pair could rally to $24,666.
Lastly please check out the advancement’s happening in the cryptocurrency world.
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