Crypto Market Experiences Sudden Price Drop in Early December
On December 3rd, the crypto market saw a significant decrease in prices. The two leading coins, Bitcoin and Ethereum, both experienced a drop of 6% and 6.87% respectively, wiping out any gains made in the first days of 2024. This sudden fall in prices may be attributed to a possible rejection of the US SEC’s highlighted spot ETF platform for digital assets financial services.
Global Crypto Market Value and Volume
The total value of the global crypto market is currently $1.74 billion, with a slight decrease of 1.08% from the previous day. However, the total volume of crypto transactions in the last 24 hours has increased by 1.13%, reaching $69.16 billion. Despite this selling pressure, some cryptocurrencies like Solana, Internet Computer, and Maker continue to show bullish trends.
Solana Price Balancing at $100 with Potential for Rebound
The price of Solana experienced a significant correction in December, dropping from a high of $126.36 to $100, marking a 23% decline. The $100 mark serves as a key support level, aligning with the 23.6% Fibonacci retracement, to keep Solana above this price. However, the recent rebound is not a definitive sign of recovery, and investors should look for a bounce back from the $100 support level or a break above the recent high of $126.36.
In the event of a prolonged correction, potential support levels can be found at $82.9 and $70, corresponding to the 38.2% and 50.0% Fibonacci retracement levels. The MACD indicator also suggests a bearish sentiment in the market.
Internet Computer Price on the Rise with Skyrocketing Open Interest
The Internet Computer (ICP) has emerged as the top weekly gainer, currently trading at $15.29. On December 26th, the price surged by 89%, reaching a 10-month high of $16.20. Recent data also shows a significant increase in open interest, rising from $28.68 million to $117.48 million in just three weeks. This indicates growing investor confidence and interest in ICP. A breakout from the cup-and-handle pattern may further drive the price 32% higher to $20.
Maker Price Continues Seven-Month Uptrend with Potential for Further Gains
The daily chart for Maker (MKR) reveals a seven-month upward trend within a rising channel pattern, catching the attention of market participants. The coin’s price has shown a tendency to rebound from the trendlines of this pattern. On December 19th, MKR saw a dramatic reversal of the trendline, surging by 50% to a trading level of $1892. However, historical trends show that the price may face selling pressure at the resistance level, leading to another correction.
Investors may consider taking advantage of better entry points during dips at the lower boundaries of the pattern or upon a breakout from the upper trendlines. As long as the pattern remains valid, Maker’s price is expected to continue its upward trajectory. The 200-day Exponential Moving Average (EMA) can also provide reliable support during corrections in this chart pattern.
In conclusion, despite the recent price corrections, the crypto market continues to show potential for growth and gains. Investors should carefully monitor key support and resistance levels and use technical analysis tools like Fibonacci retracement and moving averages to make informed trading decisions.