Since our crypto update last weekend, it is time to update our graphs on cryptocurrencies following the recent movements having taken place on the decline. Like every Sunday, it will be an opportunity to discover the technical situation of the market and the dynamics that we are likely to experience during the coming weeks by establishing a bias according to the thresholds that we will identify. Without further ado, let’s head to TradingView to begin the analysis.
Capitalization operates a downward reintegration
What we can see, since last week, is the fall having taken place on the total capitalization of the market, bringing together the value of all the assets of the ecosystem. While the 2.4 trillion dollars had regained during the month of May, allowing the market to build support in the hope of resuming the upper limit at 2,625 billion dollarsthe trend finally reversed, leading the market to make a downward break below this pivot at $2.4 trillion.
What is worth noting is that the sellers have managed to take over the buyers and are leading the entire market to take the bearish path. For the second half of June, the market will have to resume upward momentum as quickly as possible with a reintegration of technical pivot. If successful, this will demonstrate the presence of buyers hoping for new highs in 2024. However, the current bias turns out to be rather neutral with an objective potential to 1,777 billion dollars (lower limit of the weekly range).
It is therefore advisable to be patient while trying to take advantage of the dynamics that could take place within this technical zone which still remains rather broad.
Altcoins are also in trouble
As for altcoins, which we did not analyze last week, we also had to movement. However, this turns out to be in the continuity of the dynamics of total capitalization of the market. If bitcoin and ether fall while they partly lead the capitalization previously studied by the proportion they represent, it will be complicated for altcoins to detach (although this can sometimes happen).
Returning under the technical area to 640 billion dollarsaltcoins are in difficulty and testify to the presence of sellers for several days. Given the lack of momentum in recent months, it is a safe bet that altcoins will extend the current dynamic by heading, initially, towards the $597 billion.
For buyers to be in the game again, in addition to the need for them to defend the zone below $597 billion whatever happens, they will have to regain the technical zone, recently lost, as quickly as possible, which will will allow gain strength and hope for a return on the summits of the year 2024. As for the dominance of bitcoin, nothing particular to report since it continues to evolve on the 55.14%. We’ll have the opportunity to talk about it in a bigger way next week when its dynamics really evolve.
Dead calm for the prince of cryptocurrencies
On the Ethereum side, the situation is inevitably similar to last week since the evolution of bitcoin’s dominance has been non-existent. The latter having remained on the same technical thresholdthe dynamics on the side of the ETH/BTC pair turn out to be in line with a slow motion volatilitybuyers sidelined in a particularly market context slowmarked in part by the start of summer for this year 2024.
However, it is clear that the rebound which takes place in the pivot zone that we identified ago several months within a weekend crypto point is not not negligible. Following the reintegration of the previous range, the ETH/BTC pair is trying to recover from the risewhich will allow the ether to gain strength and provide a context which, we hope, will be favorable towards altcoins. For the moment, theuncertainty is still relevant. For this scenario to materialize, the ideal would be a break in the 0.06 BTC in order to reverse the lateralization trend of this year 2024.
The capitalization of decentralized finance cryptocurrencies is rejected
In recent weeks, we have not had the opportunity to devote a technical point to the decentralized finance sector. However, in recent days, like the rest of the market, we can see some downward movements. Since April, the sector seems to be building a lateralization zone between 85 and 110 billion dollars.
These last few weeks were marked by a accumulation below the upper limit. However, buyers were surprised and pushed back to the resistance zone. Followed by a falls below $102 billion (technical support), the market accelerated downwards, now reaching $90 billion. Whatever happens, the goal is toavoid a fall below the lower limit of 85 billion dollarswhich will allow the sector to defend a support zone and hope for the construction of a rebound towards the upper limit.
To achieve such a result, the cryptocurrency market will have to quickly make a change. reversal trend. Marked in its generality by a sharp fall on the various graphs that we had the opportunity to study previously, thebitcoin dominance hold on as well as that of ethereum, demonstrating that altcoins are in great difficulty for several days. This is explained in particular by a lack of new entrants, little liquidity at present and above all, a sales pressure constant with the release of tokens into the market.
