Bitcoin price has yet again trembled down drastically with a huge margin. The asset which had recovered finely above $45,000 is now feared to drain below the bearish support levels around $38,000. Now while many look at the recent dump as yet another correction or a minor pullback, immense possibilities of continuing with plunge hovers the rally. Moreover, the downtrend is expected to continue until the lower support around $38K is tested.
The recent plunge and a notable recovery display the possibilities of the asset maintaining the ‘H & S’ pattern. And if the asset hovers as per the pattern, the plunge may drag the price much below the $40K support levels.
The local support around $37,500 to $38,000 are comparatively strong and hence revisiting these levels could be progressively tested. This is a significant bearish pattern where-in the asset may face an interim drain if failed to test the neckline of the pattern.
What’s Next For Top Altcoins?
With a drain in the BTC price, the other altcoins also experience a significant pullback. While Ethereum dived below $3000, Cardano is approaching the strongest support. And many other altcoins are also experiencing a huge drain.
Moreover the DeFi and the NFT space are witnessing close to a 10% loss.It was just when the Web3 tokens were emerging as the highest gainers than the traditional cryptos and the DeFi tokens. And therefore,the possibilities of the whales pushing the Web3 space only to accumulate more Bitcoin hovers within the space.
As per the Altcoin proponent, the whales and the bulls just ignited the Web3 space with a blast. And hence many retail traders speculated that the year 2022 could be the thriving year for the NFTs. And the space also maintained a notable uptrend despite the traditional crypts maintaining a sideway trend.
However, currently it appears that after keeping the crypto space in some sort of illusion, and accumulating the Bitcoin let out to hold the NFTs. And hence it appears that the altseason also may be delayed to some extent until a flip with BTC price does not materialize.
Source: https://coinpedia.org/price-analysis/bitcoinbtc-price-yet-again-slips-to-40k/