ether fell heavily while Bitcoin was facing relatively lighter stress at press time on Thursday evening, as the global cryptocurrency market cap fell 3.7% to $1.2 trillion.
| coin | 24 hours | 7 days | Price |
|---|---|---|---|
| Bitcoin BTC/USD | -1.4% | -3.1% | $29,273.32 |
| ether ETH/USD | -7.9% | -10.4% | $1,801.24 |
| Dogecoins DOGE/USD | -6.1% | -9.8% | $0.08 |
| cryptocurrency | 24-hour % change (+/-) | Price |
|---|---|---|
| Forehead (FOREHEAD) | +3% | $1.45 |
| decree (DCR) | +0.3% | $36 |
| Binance USD (USD) | +0.2% | $1 |
See also: Best USDC Interest Rates
Why it matters: Cryptocurrencies failed to muster any strength even as other risky assets like stocks surged Thursday.
Bitcoin, Ethereum, and Dogecoin are trading below the $30,000, $2,000, and 8 cent levels respectively at press time. On Thursday, the S&P500 closed 2% higher and the Nasdaq gained 2.7%.
Altcoins are particularly under pressure as investors tend to dump riskier assets during downturns.
Senior Market Analyst at OANDA Edward Moya attributed ETH’s sharper decline to scaling worries after “The Merge” or the official move to proof-of-stake.
“Ethereum is being sold off as many crypto traders begin to doubt the success of Ethereum 2,” Moya said in a note.
“The Ethereum 2 merge has been delayed until August, but it won’t really scale Ethereum, they will use a multi-chain system and connect to a range of Layer 2 scaling solutions.”
Moya noted that Ethereum has strong competitors that “can scale better, and this latest update could force people to abandon ship.”
Cryptocurrency trader and analyst Michael van de Poppe tweeted that he was eyeing the $28,800 and $29,300 levels for bitcoin’s bullish move and said that the Apex coin could find its way to $31,000 and $32,800.
Easy if we look at #Bitcoin for $28.8K and/or $29.3K to continue higher as we broke all the lows and touched the $28.2K zone.
If these hold then $31,000 and possibly $32,800 next. pic.twitter.com/8gxjcWPlWr
— Michaël van de Poppe (@CryptoMichNL) May 26, 2022
The percentage of unspent bitcoin transactions priced below the current price when they were created has fallen from 86.8% in early 2022 to 74.5% at press time, according to Glassnode data. A higher number usually indicates market tops, while lower values signal a bottom.
Bitcoin: Percent of UTXO’s Gains Since Jan 1, 2022 – Courtesy Glassnode
A contrary view was expressed by Chartist Ali Martinez, who said that bitcoin appears to be losing the support floor between the $30,000 and $29,100 levels.
“There are no other significant demand walls underneath,” Martinez said in a tweet.
#Bitcoin appears to be losing the support floor between $30,000 and $29,100. Note that there are no other significant demand walls below $BTC. https://t.co/5Eztat2lGj pic.twitter.com/HxdLuWSKg1
— Ali Martinez (@ali_charts) May 26, 2022
Read More: JPMorgan Sees Bitcoin’s Fair Value at $38,000; Crypto is now favored over real estate
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