From cryptocurrency unfortunately the market is very red this morning. With a few exceptions, almost all prices are currently making a significant dip. Do we see a shake-out to happen? Analysts are already warning of more upcoming volatility. Total market capitalization is currently dropping to $2.57 trillion, a whopping $190 billion lower than last week’s record.
$ BTC estimated leverage ratio is about to hit a year-high. It seems obvious that the market is over-leveraged now.
We’ll see some volatility shortly.
Live Chart???? https://t.co/W0oDOA6qNl pic.twitter.com/rSL1Yoma22
– Ki Young Ju 주기영 (@ki_young_ju) October 26, 2021
Bitcoin
Bitcoin (BTC) didn’t find enough support yesterday around $63,000 and by the end of the day $62,000 wasn’t offering enough support either. The price plummeted from $62,400 to 60,250, a 3.4% drop in less than two hours. Bitcoin then held out overnight and even made a small in the early hours of this morning bounce back to nearly $62,000. With that, a bullish head & shoulders pattern has been confirmed, but at the time of writing bitcoin is falling hard again.
The $61,000, $60,000 and even $59,000 cannot hold. Bitcoin is down 4.6% in an hour from $61,000 to $58,180 at the time of writing. So it’s slowly starting for now bearish to look out. Bitcoin is now almost 14% away from its all-time high (ATH) from last week.
Here comes more #BTC liquidations. Elevated leverage ratio at .19 is a near term cautious signal. Look for support at the 21 day EMA, 58.3k, 57.1k, 55k, and 53k. pic.twitter.com/1BZ9LO9IZQ
— Daniel Joe (@DanielJoe916) October 27, 2021
More volatility is to be expected. However, this may not be the end of the bull cycle. Whales and miners continue to accumulate BTC and the supply on exchanges continues to decline.
????Very low $ BTC Reserve, Very high Stablecoins!
“BTC Price possibly goes up more if Stablecoins are used for buying more BTC with BTC Reserve being low.” by @satoshicode
Check????https://t.co/qUsetCAJss
— CryptoQuant.com (@cryptoquant_com) October 27, 2021
Altcoins
Ethereum (ETH) initially held the strongest among the top 10 largest crypto. The ether price is also becoming more volatile, reaching a peak of $4,305 yesterday and this morning, just 1.2% below its ATH. However, at the time of writing, ether is also making a sharp move downwards and is back below USD 4,000.
The rest of the top 10 is also quite red. Binance coin (BNB) and polkadot (DOT) are down 7.5%, ripple (xrp) 10%, solana (SOL) 12%, cardano (ADA) 12.5% and dogecoin (DOGE) even 14.5%. The prices that fall even harder are the same crypto that rose the fastest last week. Avalanche (AVAX), thorchain (RUNE) and elrond (EGLD) are 15% in the min, okb (OKB), harmony (ONE) fantom (FTM) and curve (CRV) more than 17%.
Shiba Ibu (SHIB), on the other hand, just keeps on rising like a rocket. The SHIB price is up 35% today and just reached a new all-time high (ATH) of $0.00005806. SHIB is up 100% from a week ago and even an exorbitant 700% from a month ago. However, SHIB is now also starting to fall.
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