Major cryptocurrencies have been moving in a downward trend within the last six months. The end of 2021 and the beginning of 2022 did not indicate that such a large sell-off will take place and the situation is getting really serious. Counting from the highs in 2021, Ethereum's price has fallen by more than 75%, while Bitcoin has lost over 65%. Only today Ethereum fell 17%, while Bitocin plunged 13%. Is this the end of the crypto market, or maybe an opportunity? Below is a quick look at the current technical situation on the Ethereum and Bitcoin charts.
Ethereum
إبدأ بالإستثمار اليوم أو تدرّب على حساب تجريبي
قم بفتح حساب حقيقي جرب الحساب التجريبي تحميل تطبيق الجوال تحميل تطبيق الجوالLooking at the Ethereum chart on the D1 interval, one can see that bears took full control. After breaking below support at $ 1700, the downward move accelerated (we mentioned this scenario several times last week). If current sentiment prevails, an attack on the $ 835 level cannot be ruled out. This level is marked with the lower limit of the 1:1 structure. Also the aforementioned geometry coincides with the external 127.2% Fibonacci measurement, of the upward wave launched in the second half of last year. Even if buyers will become more active in the coming days, the main trend remains downward and sentiment change may require a break above $ 1700, but for now it is a very distant level.
Ethereum interval D1. Source: xStation5
Bitcoin
The most popular cryptocurrency is in a similar spot. Looking at the daily time frame, one can notice a solid sell-off. After breaking below the support at $ 29,000, price sinked. Bitcoin fell below the lows of May 12, which confirms the downward trend. According to classic technical analysis, the next important support is located at $ 18,000! This level is marked with the external measurement of 127.2% FIbo, of the upward wave launched in June 2021. Should a break lower occur, the next major support zone is marked with a lower limit of the 1: 1 geometry - which equates to the downward wave that builds up from November 2021 to January 2022. So far, the chart does not show any demand signals, and it seems that only a return above $ 29,000, could give buyers some hope.
Bitcoin interval D1. Source: xStation5
