Bitcoin

Bitcoin and Altcoins Reversal: Has the Market Bottomed?

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After a strong bearish extension towards the $53,500 level, the crypto witnessed a magical overnight return in Bitcoin of 4.18% in 8 hours. With $134 million worth of short positions liquidated across Bitcoin and Altcoins, recovery sentiments are returning.

As the weekend approaches, the decline is halted as the threat of immediate sell-off pressure on $2.7 billion in Mt. Gox payout looms. Amid volatile market conditions, news such as the German government continuing to sell, 7.5% tax on fees for Nigerian traders on Kucoin, and increasing liquidations add more fuel to the flame.

Meanwhile, as significant demand for lower levels in Bitcoin was revealed overnight, altcoins are soaring. Despite losing $1 trillion in market cap, the altcoin sector jumped from $850 billion to $914 billion overnight.

As Ethereum and major altcoins pumped, a fresh breath of relief sparks a recovery next week. Will the bull run in Bitcoin and altcoins continue as the market hints at a bottom?

Let’s find out more about the price charts of Bitcoin and other major altcoins in the cryptocurrency market.

Largest Cryptocurrency: Has Bitcoin Hit Rock Bottom?

With a sequence of bearish triple candles on the daily chart, the BTC Price falls to $56,000 levels. The ongoing correction accounts for 20% in the last 30 days, starting from the $71,000 level to a bottom of $56,500.

Trading view

Leading to a new resistance trendline, BTC price sustains a long-tailed candle, bouncing off the $52,000 levels. With a 4.15% rally in 8 hours, the cryptocurrency reveals massive demand at lower levels, and sideline players are ready to buy the dip.

With such intent and $52.92 million worth of liquidated short positions in Bitcoin alone, the market suggests a bottom. Furthermore, with chances of a morning star or a sideways move at $56,500, the overhead trendline could witness another breakout attempt.

Largest altcoin Ethereum resurfaces above $3,000

Breaking below the long-standing support trend line, the ETH Price rally ends higher bearish formation. Despite a dip to the $28.64 level, Ethereum resurfaces above the $3,000 mark as Bitcoin recovers.

Trading view

Currently, the largest altcoin is trading at $3,010 with an intraday gain of 0.99%. The lower price rejection triggers a possible retest of the broken trendline with a bounce to $3,250.

With solid support at $125, Solana eyes $150

With a relatively small correction during the market crash, the SOL Price retests the $125 support zone. However, the altcoin struggles to resurface above $153 after breaking the support trendline on the daily chart.

Trading view

As the lower price rejection at $125 restarts another bullish cycle, the $153 level is the next potential target for this altcoin. With a market cap of $57.28B, Solana is ranked as the fifth-largest crypto and offers an upside of $250 according to Fibonacci levels on the daily chart.

The fight continues for Ripple and Cardano

Despite a drop to $0.31 for Cardano and $0.38 for Ripple, altcoins are seeing a recovery overnight. ADA is currently trading at $0.355 and XRP at $0.433, with the distance to the $1 target growing larger each week.

Top Performing Altcoin: Toncoin

With an intraday gain of 4.99%, Toncoin is quickly recovering from the market crash and is up 7% in the last 24 hours. Forming a morning star pattern, the TON Price trend causes a rebound above the broken trendline.

Trading view

Currently trading at $7.58, Toncoin is eyeing a surge towards the $8.96 mark next week as per trend-based Fibonacci levels. However, market conditions will be crucial in deciding the next phase of the uptrend.

Conclusion

As Bitcoin recovers, altcoins drain sentiment and momentum in the largest crypto to surge. On track to break out of the week of correction, any future offering of Mt.Gox payment could send prices tumbling.

Read too: After 40% Surge, LayerZero Eyes Another 25% Jump: Will ZRO Price Hit $5 This Weekend?

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