Bitcoin’s surge above $20,000 must wait, for now. Earlier in the week, BTC price saw a major $3,000 correction which turned it away from reaching a new all-time high and it took the entire crypto market down with it.
Data analysis suggests that the bitcoin whales decided to take profits when the flagship crypto surged towards $19,500. The market action pulled the bitcoin price lower which might have resulted in the liquidation of the over-leveraged positions in the futures market. These liquidations might also be responsible for further market declines.
The current correction is a good sign for the market since the crypto space was becoming quite overheated as many altcoins rallied massively in the past week. While some of the altcoins have given back much of their gains, bitcoin is still strong. That means the investors and traders are buying into supports at lower levels.
Mike Novogratz, Galaxy Digital founder, and CEO said that BTC is attracting institutional investors since it is considered to be a hedge against the debasement of fiat currency. Mike also said that investors keep almost 3% of their net worth in Bitcoin with a long-term objective. He thinks that bitcoin will be worth a lot more in the next five years.
Nevertheless, investors are advised to wait for the price of the flagship crypto to stabilize and form a base before buying since trying to catch a dropping knife is dangerous. If the prices hold steady near the critical support levels, traders can consider buying the crypto.
XRP Is Surging
The price of XRP is hovering around $0.644 and the third-biggest crypto has a market cap of $27.2 billion. In the last 24 hours, the coin has gained over 17% which makes the coin to be among the leaders trying to pull the crypto market back up from the recent market crash.
XRP hit its daily high of $0.64 before slightly dipping to $0.59 before recovering to trade at the current levels. The price has increased by over 65% from the past week’s $0.36 which makes it the third best-performing crypto of the week after Horizen and Stellar. In the other week, XRP gained the most among all of the major cryptos.
On November 23, XRP surpassed $0.50 for the first time since 2018 and since then it has experienced many ups and downs. After surpassing $0.90 on November 24, XRP’s price lost around 20% the next day. The downward trend continued on November 26 and it dropped below $0.50 at 16:44 UTC before it regained strength soon after, rising above $0.50 at around 20:14 UTC.
Bitcoin has increased by around 3% in the last 24 hours and it has lost around 6.89% in the past seven days as it hovers around $17, 400. The general crypto market has slightly recovered from the crash in the week gaining 4.1% in the past 24 hours. Thus, the general market cap has reached $522 billion.
Cardano’s ADA formed a dark cloud cover candlestick on November 25 which indicated a bearish reversal. That price action was followed by further selling from the strong bears and it covered long positions by the trapped bulls.
The ADA/USD pair dropped on November 26 and it dipped below the 20-day EMA ($0.126). However, the long tail on the candlestick indicated that there would be buying at lower levels. The buyers are trying to sustain a bullish momentum while the bears are taking on any opportunity to sell even on minor rallies.
The price of ADA is hovering around $0.1673 and the fifth-biggest crypto has a market cap of $5.179 billion. In the last 24 hours, the coin has gained over 23% which makes the coin to be among the leaders trying to pull the crypto market back up from the recent market crash.
Stellar Lumens (XLM)
On November 25, Stellar (XLM) formed a Doji candlestick pattern. This pattern had a long wick which suggested that aggressive selling by the bears at higher levels would occur. The bears continued to dominate the market on November 26 and the altcoin plummeted to $0.145377, just above the 61.8% Fibonacci retracement level of $0.140209.
The bulls managed to buy the dip on November 26 and are currently trying to retain an uptrend. But, the higher levels in the market might usher in selling pressure once more. After the significant trending moves of the past days, volatility might reduce in the future which would make the XLM/USD pair to consolidate in a range for several days.
If the bulls propel the price above $0.231655 or the bears manage to sink the price below the 20-day EMA ($0.122), that view will get invalidated.
The price of XLM is hovering around $0.21073 and the ninth-biggest crypto has a market cap of $4.638 billion. In the last 24 hours, the coin has gained over 11% which makes the coin to be among the leaders trying to pull the crypto market back up from the recent market crash.