In the last 24 hours, we have seen the market reach new highs led by the market leader, Bitcoin. The rally which saw Bitcoin jump above $5,400 brought excitement to investors as the prospect of hitting $6,000 became as real as it can get. This excitement has however been cut short following a slight to moderate price correction across the market.
Bitcoin, which has been dictating movement has seen a moderate pullback of around 3%, taking it to around the $5,100 position. With Bitcoin showing resistance around $5,450 and support around $5,100, this surge and correction signals that Bitcoin’s long-term ambition of hitting $6,000 is still in the balance.
A Correction Period For The Market After A Failed Breakout, Bullish Trend Over?
It most certainly doesn’t look like the bullish trend is over following today’s correction but a rather short backtrack in response to the fast gains. Bitcoin will now look to find support at the $5,000 position before steadily climbing back to its previous $5,200- $5,300 price range.
Then the bulls can consolidate and make an attempt at the $5,450 resistance position again, this time possibly hitting $5,500, where we could see buyer volume go up as investors anticipate a move towards $6,000, further strengthening its bullish trend.
Ethereum (ETH) Drops By Over 8%
In the last couple of hours, the biggest altcoin by market cap has seen one of the most dramatic price movement in the market. Ethereum (ETH) is at the time of press down by around 8% dropping to around $166. The drop follows yesterday rally which saw the coin hit a high of a little over $184. For Ethereum, its immediate target has been $190, which sees the altcoin come at earshot of hitting $200, the bulls long-term target.
The drop has further seen other altcoins such as Litecoin drop by double digits, around 10% while others like XRP have fallen by around 5% to 10%. Most of these altcoins will need to soon find support before beginning to make a recovery. But for most, they will remain on a steady bearish trend awaiting to follow a new set trend by the market leader.