Crypto Daily Market Commentary - 25.09.2019 - Forbes

Crypto Market Overview

Top 10 Coins and Tokens. Source: Coin360
https://coin360.com/

Today we see a sea of deep red in the markets. Overnight, the crypto markets crashed. And what a crash it was! Within two hours, bitcoin dropped from $9,500 to a low of $7,800, almost an 18% drop. And for a short moment, we saw prices we hadn’t seen in a long time – early June this year to be specific: BTC at $7,800, ETH at $150, BCH at $204, LTC at $0.54, and BNB at $14.50. At the peak, ETH had dropped by 27%, BCH 33%, LTC 25%, and BNB 26%. As we write this article, BTC is at $8,640 and ETH at $171.95.

The overall market capitalization of cryptocurrencies lost around $30 billion and is currently at $225 billion. Bitcoin dominance didn’t change much in the last 24 hours and is still at around 69%.

Bitcoin [BTC]

Bitcoin Daily Chart. Source: TradingView
https://www.tradingview.com/

As we can see on bitcoin’s daily chart, the last couple of hours marked the time when bitcoin finally broke down of the descending triangle, which had started forming from June 26^th onwards. Although BTC formed higher lows, the lower highs as indicated by the red trendline were far more suppressive and forced the price down continuously. The orange trendline was tested three times over the last months until bitcoin made a breakout to the downside when retesting it for the fourth time. This flash sale was supported by a lot of volume as we can see on the volume indicator.

Bitcoin Hourly Chart. Source: TradingView
https://www.tradingview.com/

After two massive red candles on the hourly chart, bitcoin now starts building a small pattern that looks like an ascending triangle with resistance at around $8,750, which is exactly the 200 EMA trendline on the daily chart. So, if prices are to recover, bitcoin needs to surpass this critical level first. At the time being, it is hard to say where the markets are headed. A short-term recovery is likely in the hours to come, and whether bitcoin can start an uptrend from there depends on the decisiveness of the market and momentum that needs to build first.

Ethereum [ETH]

Ethereum Daily Chart. Source TradingView
https://www.tradingview.com/

Ethereum Hourly Chart. Source: TradingView
https://www.tradingview.com/

Ethereum’s hourly chart is very similar to bitcoin’s hourly chart. Ether is putting in higher lows and forming a tiny ascending triangle with resistance at $175. A critical key level is $165, which marked the bottom wig of the daily candle on Ethereum’s daily chart on the 29^th of August and 6^th of September. With bitcoin dominance at 69%, currently all major altcoins mimic bitcoin’s movements and how the price of ETH will develop in the foreseeable future, is currently dependent on bitcoin.

Top Movers

As the crypto market tanked in the last couple of hours, it affected not only the top 100 but all cryptocurrencies across the board, which is the reason why there are no top gainers as of today.

Today’s top losers, as of the time this article is being written, are Algorand [ALGO] with -24.62%, Bytom [BTM] with -24.40%, and Aeternity [AE] with -23.72%. In the course of the day, the top losers are likely to change a lot, as the percentage losses are dependent on how quickly the altcoins are able to recover.

News of the Day

Bitcoin, Ethereum, Ripple’s XRP, And Litecoin In Shock Meltdown – Forbes
Bitcoin Price Collapses By More Than 15% In An Hour – Forbes
Wall Street Paves The Way For Bitcoin To Become 'People's Currency' – Forbes
Bitfinex And Tether Win Stay In $900 Million New York Supreme Court Case – Forbes

Disclaimer

Forbes Digital Assets

Research Team

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Forbes Digital Assets does and seeks to do business with companies covered in ForbesDA Research. As a result, readers should be aware that the firm may have a conflict of interest that could affect the objectivity of Forbes Digital Assets Research. Investors should consider ForbesDA Research as only a single factor in making an investment decision.

2019-09-25 04:55:04Z
https://www.forbes.com/sites/forbesdigitalassets/2019/09/25/crypto-daily-market-commentary25092019/