In this new weekend crypto update, we take a look at update of our previous analysis by identifying any changes that may have taken place over the last few days on the cryptocurrency market. It is clear that the range is particularly long on Bitcoin (BTC)which has a direct impact on Ethereum and altcoin dynamics. Without further ado, let’s head over to TradingView to identify the levels to watch and what to expect for the rest of August.
Cryptocurrency capitalization faces resistance, downside ahead
Since last week’s loss of $1.128 trillion, the cryptocurrency market has been unable to regain this technical level, reflecting the selling power which is currently taking hold on the market. As a result, the challenge now lies in the market’s ability to regain this technical level, which would demonstrate a buying force capable of bringing cryptocurrencies back to the 1,160 billion.
However, since the trend is downward on the total market capitalization with a loss of the pivot zone, this currently gives way to a bearish biasr for the coming weeks on the market. In this context, if the current momentum continues, then cryptocurrencies will return to a capitalization at 1,080 billionwhich could pave the way for great opportunities on altcoins.
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Altcoins in the wake of total market capitalization
For the altcoin capitalizationthe situation is still different as it is currently located on a major pivot where the price has been reacting for many months. Over the next few days, the challenge will lie in the ability of capitalization to bounce back from the current pivot, enabling altcoins to maintain their levels and take off in the direction of their resistance.
However, if altcoin capitalization were to fall below current levels, this would translate into a powerful fall towards the $290 billion mark, corresponding to the low point of December 2022 and June 2023. From a more global point of view, we’re still in the annual range that altcoins are experiencing, which bears witness to the period of lateralization we’re experiencing following the price drop in 2022.
Regarding the capitalization of the king of cryptocurrencies, this one will not be covered in the analysis since the situation is the same as today’s last week with a rebound now underway to 49.70%. With bitcoin in a strong position, it seems complicated for altcoins to experience a period of powerful bullishness during August. So, as long as the price remains above this threshold, Ethereum will also be in trouble.
A non-existent evolution for the Ethereum cryptocurrency
Since last week, there have been little change on the ETH/BTC pair, as the asset is still below a technical pivot. As previously mentioned, Ethereum will need to break free of this zone if we wish to see it on the technical level at 0.067BTC.
As long as the Ether price will not be there, the bias to have on the ETH/BTC pair will be bearish with altcoins unable to move in an upward direction. As we’ve said on several occasions, a bullish momentum on Ethereum is essential if we wish to see the rise of the rest of the market. The coming weeks will be interesting as they will mark the dynamics that the market will take into September. Will buyers be able to push the asset to higher technical levels?
DeFi cryptocurrencies face the wall
While recent weeks have been interesting for the decentralized financeHowever, this is no longer really the case when you look at the share price: declining capitalization, descending troughs and peaks, loss of a pivot zone: all indicators are green for the establishment of a downtrend.
In this context, if capitalization fails to recover the $41 billion mark in the next few days, it will be time for the DeFi sector to move lower, with a return to 35 billion dollarswhich can be explained by theEthereum’s inability to recover capital in the face of a cryptocurrency king from a position of strength.
Here we are at the end of this crypto update for the cryptocurrency market. Since last week, the state of the market has improved a little. deteriorated with a decline in all prices which we’ve been monitoring for several months in this column. The difficulty for the market lies in ousting bitcoin while maintaining a bullish momentum. So, with the range still in place, we must maintain a wait-and-see stance. In this context, it is advisable to monitor altcoins individually for interesting technical levels in order to reload your portfolioalways respecting your investment plan.
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