Altcoin
Reasons Why Bitcoin Is Struggling Despite Crypto Market Is Up On Wednesday
Bitcoin price still struggled to regain its momentum despite a recovery noted in the broader crypto market today. The altcoins have reclaimed their position in the green today, following sluggish trading over the past week, and the rally was led by the second largest crypto by market cap, Ethereum.
Considering that, several investors are looking for potential reasons that why Bitcoin price is still struggling despite an upward momentum noted in the altcoins’ performance.
Reasons Why Bitcoin Price Is Struggling
Bitcoin ETF Outflows
Bitcoin price has struggled over the past few days, after witnessing a strong run in the last few months. Notably, the recent rally in BTC was primarily driven by the robust influx into the U.S. Spot Bitcoin ETFs, among other reasons, that have bolstered market sentiment.
In addition, several other market trends and bullish forecasts from the market pundits have also fueled confidence in the market. Having said that, the recent outflow in the U.S. Spot Bitcoin ETFs has weighed on the sentiment.
For context, the Spot Bitcoin ETFs have noted outflows for the last four days, totaling more than $700 million. On June 18, the outflux was $152.4 million, led by Fidelity’s FBTC recording $83.1 million and GrayScale’s GBTC noting $62.3 million outflux.
Other Concerns
This notable outflow has raised concerns of the investors while impacting the risk-bet appetite of the investors. In addition, the mixed outlook of the Fed officials with their policy rate plans has also continued to weigh on the sentiment, despite the latest data showing that the inflation is cooling in the U.S.
Having said that, the investors seem to be shifting their focus on the lower-priced altcoins for now, while seeking further clarity before entering the market. Besides, popular crypto market analyst Ali Martinez has previously said that Bitcoin needs to climb above $66,254 to avoid a potential drop to $61,000.
However, given the current range of BTC trading at $65,000, investors remain cautious.
Also Read: Bitcoin (BTC) Price Correction to $60,000 Coming As Per On-Chain Data
Why Is the Crypto Market Up Today?
The crypto market has shown upward momentum today, despite a dip in Bitcoin price, reflecting the growing confidence of the investors towards the crypto. Notably, the altcoin surge was led by Ethereum, as its price jumped after the U.S. SEC concluded its investigation on Ethereum’s security status.
This development is amid the soaring optimism over a potential approval of the U.S. Spot Ethereum ETF by the U.S. SEC by July 2. Bloomberg analyst Eric Balchunas has recently unveiled this potential timeline for the approval, sparking market optimism.
Macroeconomic Factors In-Play
The recent data showing that global inflation is cooling has also bolstered market sentiment. For context, the European Central Bank (ECB) has announced its first rate cut in years, boosting investors’ confidence.
On the other hand, the recent U.S. CPI and PPI data also showed that inflation is cooling. Although it still stays above the Fed’s 2% target range, it appears to have cooled off in May, raising bets over potential two rate cuts by the Federal Reserve. However, the positive data has failed to have any immediate impact on Bitcoin or in the broader crypto market.
In addition, the most recent data showed that the U.K. CPI inflation cooled to 2% in May from 2.3% in the previous month. For the first time in about three years, the figure came in line with the BoE’s target range, with investors anticipating a potential rate cut by the central bank.
Bottom Line
Although Bitcoin has struggled amid the recovery noted in the broader crypto sector, market pundits still remain optimistic about BTC’s long-term trajectory. For instance, Ali Martinez, in a recent X post, shared a potential timeline for Bitcoin to reach its top citing historical trends.
Martinez said that if Bitcoin’s performance mirrors the last three cycles’ movements, then Bitcoin could reach its top either in December 2024 or October 2025.
However, as of writing, Bitcoin price has wiped off some of its losses and exchanged hands at $65,300. It has touched a low of $64,066.96 in the last 24 hours. On the other hand, Ethereum price soared nearly 4% to $3,560, after touching a 24-hour high of $3,583.88.
Also Read: The Sandbox Expands Memecoin Chest With DOGE, PEPE, SHIB Purchase
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
A hidden Bullish Divergence pattern has just been identified on the Dogecoin price chart, signaling possibilities of a significant uptrend. With this new technical pattern, a crypto analyst has projected a target of $0.7 for the Dogecoin price.
Bullish Divergence Hint At Dogecoin Price Surge
On November 20, crypto analyst Trader Tardigrade on X (formerly Twitter) announced the appearance of a hidden bullish divergence on the Dogecoin 4-hour Relative Strength Index (RSI) chart. Based on this unique technical indicator, the analyst’s Dogecoin price analysis suggests that the meme coin may be gearing up for a significant rally to the upside.
Typically, an RSI hidden bullish divergence occurs when the price of a cryptocurrency forms higher lows while its RSI forms lower lows. This indicates that despite Dogecoin’s RSI showcasing declining momentum, its price is still maintaining strength, suggesting a higher potential for an uptrend continuation.
Recently, the Dogecoin price has been on a major bullish run, as it skyrocketed from above $0.1 to over $0.35 in just a few weeks. This impressive rally has allowed the popular meme coin to test the $0.4 resistance level, a critical threshold that could trigger a significant rally for the Dogecoin price.
Based on Trader Tardigrade’s Dogecoin chart, the RSI Hidden Bullish Divergence can be seen forming at around the $0.37 price level. The analyst has set a bullish target at $0.7 for Dogecoin, highlighting a steady but continuous growth from its current price if it can maintain positive momentum.
As of writing, the price of Dogecoin is trading at $0.38, marking a 165.19% surge over the past month, according to CoinMarketCap. Despite repeatedly failing to break the $0.4 threshold, Dogecoin could see an 84.2% price increase from its current value if the projected positive growth driven by the Hidden Bullish Divergence holds valid. This would effectively push the meme coin close to or even above it’s All-Time High (ATH) of $0.73 in May 2021 during the last bull market.
DOGE Targets New ATH
In another X post, crypto analyst, Steph, has maintained an optimistic outlook on the Dogecoin price. According to Steph, Dogecoin could be gearing up for a new ATH this bull cycle.
The analyst shared a 2-year Dogecoin price chart, pinpointing a bullish target between $1.4 and $1.8 for the meme coin. Following the target’s position on the Dogecoin chart, the analyst suggests that this ATH rally could either take place before the end of 2024 or in 2025.
Based on current market trends, this massive price surge to a new ATH could be potentially driven by Elon Musk’s influence through his newly proposed organization, the Department of Government Efficiency (D.O.G.E). Additionally, Donald Trump’s upcoming inauguration as the 47th United States (US) President could also serve as a strong catalyst that could propel the Dogecoin price higher.
XRP price shot up 26% in hours as the US SEC Chair Gary Gensler announced his resignation. Ripple’s native token XRP hit a high of $1.43, the levels last seen during the 2021 bull run. Crypto market analyst predicts the continuation of the rally all the way to $2 following a bullish pattern breakout. The news of pro-crypto Paul Atkins replacing Gensler as SEC Chair could fuel the XRP rally further.
XRP Price Rally to $2 Coming?
Following the resignation announcement by SEC Chair Gary Gensler, the XRP bulls have charged in leading to another 26% price rally. Gensler’s last day at the office will be January 20, 2025, the same day when President-elect Donald Trump takes charge at the White House. It is clear that the XRP community sees Gensler’s resignation as positive, following the tough four-year legal battle in the Ripple lawsuit.
Crypto market analyst Ali Martinez believes that this rally will continue to $2. Martinez suggested that Gensler leaving the SEC would mark a significant turning point for Ripple, potentially easing regulatory pressures on the company.
“Gary Gensler leaving the SEC is the best thing that could happen to Ripple,” Martinez stated. He further added that XRP price could now set its sights on a $2 target, amid the fresh breakout from the flag-and-pole pattern.
Crypto analyst CrediBULL Crypto highlighted that XRP’s monthly Relative Strength Index (RSI) is on the verge of entering overbought territory for the first time in three years. “XRP/ETH just reclaimed and retested a 4 year long range, with the first target being ~250% higher,” he added.
Paul Atkins to Replace US SEC Chair Gary Gensler?
As Gary Gensler puts his resignation, the biggest question in everyone’s mind is whom will Donald Trump appoint as the next SEC Chair? Fox Business reported that former SEC Commissioner Paul Atkins is the front-runner to succeed Gary Gensler.
Paul Atkins is popular for his free-market regulatory approach and pro-crypto stance. He has also garnered strong support from the business community and the digital asset industry. His appointment could also open the gates for the spot XRP ETF by 2025.
21Shares, Canary Capital, and Bitwise have already filed with the US SEC for the XRP ETF in the last two months. The arrival of this investment product could fuel institutional interest in XRP.
Gary Gensler’s decision not to complete his term at the SEC has been met with widespread approval from the business sector, which has been critical of his regulatory approach. The narrative towards the end of Ripple vs SEC lawsuit now looked more obvious.
As of press time, the XRP price is trading 26% up at $1.40 with a market cap of $80 billion. As per the Coinglass data, the open interest in XRP has shot up 35% to $2.47 billion. In the last 24 hours, $25.64 million worth of XRP positions were liquidated with $14 million in short liquidations and $11.62 million in long liquidations.
Bhushan Akolkar
Bhushan is a FinTech enthusiast with a keen understanding of financial markets. His interest in economics and finance has led him to focus on emerging Blockchain technology and cryptocurrency markets. He is committed to continuous learning and stays motivated by sharing the knowledge he acquires. In his free time, Bhushan enjoys reading thriller fiction novels and occasionally explores his culinary skills.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Solana has once again caught the attention of market participants as it hit a new ATH on Friday. Notably, SOL witnesses a sustained rally against the backdrop of massive whale accumulations. Now, as the crypto is noting a buying pressure amid the bull market, market watchers anticipate further gains in the crypto ahead.
Solana Hits New ATH Amid Massive Whale Buying
According to data by Lookonchain on November 22, whales continue to accumulate Solana amid its upside movement to a new ATH. According to the data, a fresh wallet was recorded accumulating 42,443 SOL, worth $11.14 million, from Binance over the past two days. This accumulation was made by the wallet address “Au1VJ…q8hF8”, per Solscan’s data.
Simultaneously, another massive accumulation recorded over the past day has weighed the scales toward the bullish side of the asset. Lookonchain revealed that a whale bagged 100K SOL, worth $23.86 million, and staked it over the last two days. Notably, Solscan’s data showed this whale address as 7L1HBfMH.., while the whale’s SOL holdings totaled $55.58 million.
Overall, these accumulations, underscoring increased buying pressure on the asset, birthed significant market optimism on future price movements. For context, large-scale investors’ accumulations signaled heightened market confidence in the asset’s potential to offer gains ahead.
Moreover, with the soaring odds of a Solana ETF further weighing in, the current market sentiment for one of the leading crypto by market cap remains highly bullish. A recent CoinGape Media report further revealed that the SEC has now started engaging with the SOL ETF issuers regarding the filed S-1 registration statements. Besides, Bitwise has also filed for Solana ETF recently, further fueling market interest.
Coin Price Gians 8% Breaking ATH
SOL price today witnessed gains worth 8% intraday and was trading at $262.51 at the time of reporting. The coin’s 24-hour low was $237.33, whereas the current price level marked a new ATH. Notably, the weekly chart illustrated a 26% pump for the coin, followed by a monthly upswing of 59%. This bullish movement falls in line with massive buying pressure on the asset, as seen by the abovementioned whale transactions.
Simultaneously, Coinglass data indicated that the coin’s futures OI surged 15% to $6.01 billion. Moreover, the derivatives volume noted a 61% uptick to $19.03 billion. Overall, this stat indicated a burgeoning market interest in the asset, further paving an optimistic path for future price movements.
Also, a recent Solana price analysis by CoinGape Media pointed out that the coin eyes a $5,000 price target as it has already noted a significant surge from its 2023 lows. Crypto market watchers continue to monitor the token for further price action shifts in light of the abovementioned statistics.
Coingape Staff
CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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