The crypto market has witnessed a surge in bearish sentiment in recent days, sparked by an intensified regulatory crackdown in the United States. As the Bitcoin price struggles to reclaim the crucial support level above $26,000, on-chain data reveals that more miners have adopted a bearish stance in the short term. In an intriguing turn of events, Bitcoin miners have transferred over $70 million worth of Bitcoins to centralized exchanges, a move that has historically preceded market sell-offs.
Poppe’s Analysis: Crypto Market Cap
According to popular crypto influencer and trader Poppe, the total crypto market cap needs to stay above $1.04 trillion in order to avoid further capitulation in the near term. Currently, the total crypto market cap stands around $1.06 trillion, with Bitcoin’s dominance at about 49.20 percent.
Dark Days Ahead?
Notably, a drop below the current levels in the total crypto market cap could push the industry towards below $1 trillion and perhaps revisit last year’s ATL below $800 billion.
Bitcoin Is The Key!
The crypto market is currently reliant on Bitcoin price action following a significant decline in overall liquidity. According to Poppe, Bitcoin price must hold above the 200 weekly EMA to ensure a rebound in the coming days.
Still a crucial period for #Bitcoin.
We're acting above the 200-Week EMA here for $BTC, which is a must-hold. pic.twitter.com/okLZkQEW5y
— Michaël van de Poppe (@CryptoMichNL) June 12, 2023
Meanwhile, the previously anticipated altcoin season could get delayed by months despite the crypto adoption in Middle East nations, Europe, and Hong Kong.
Source: https://coinpedia.org/news/bitcoin-on-thin-ice-will-the-market-cap-stay-above-1-04trillion-or-is-a-crash-looming/