Cryptocurrency markets are having a tough time during the third week of the new year as a vast majority of digital assets are down 20 percent or more. Currently, the BTC/USD global average is roughly $12,050 after touching a high of $14,300 just 24-hours prior. The sudden losses started taking place yesterday evening when bitcoin markets dipped into the $13K territory. Uncertain digital asset traders are debating on whether or not markets will rebound soon or plunge to some more lower bound figures in the near future.
The January Crypto-Slumps
2018 hasn’t been the best time for those looking for the currency to reach its all-time highs again. In fact, since its top of $19,600 across global exchanges back in December bitcoin markets and many other cryptocurrencies values have tumbled significantly. During this past weekend, BTC/USD markets were fluttering around the $13,300 region but kicked into higher gear during the morning of Monday, January 15. Since then on Tuesday, January 16 things are a whole lot different, and the price is now averaging just above $12K per BTC and saw a low of $11,600 earlier this morning.
Global trade volume is high at $15.5Bn worth of BTC traded over the past 24-hours with the USD capturing 40 percent of that action. The Japanese yen is a bit lower this week with only 29 percent of the BTC trade volume. The last three currencies traded with bitcoin core markets include tether (USDT 10%), the euro (7.9%), and the Korean won (which has slumped to 3.8 percent). The top five exchanges trading the most BTC today include Bitfinex, Okex, Upbit, Binance, and GDAX. Further, the most traded cryptocurrency paired with BTC on January 16 is ethereum (ETH).
Looking at charts like the daily and hourly shows a significant slide in value since bitcoin core markets tapped $14,300 on Monday. At that time when the price was more bullish the two Simple Moving Averages, including the 100 and 200 SMA, had crossed paths briefly with the 100 above the longer term trendline. The gap was small, and the two crossed hairs again on Monday bringing the short term 100 SMA below the 200, once again showing bearish sentiment is in the air. The Relative Strength Index (RSI) and the Stochastic oscillators are heading northbound, showing some traders are buying this particular dip and consolidation may form in within the current price range.
Looking ahead, order books show some tough resistance at $12,700 and things get thicker above that region. If bulls can manage to break the $13K zone, some smoother sailing could return. On the backside, watch for the Displaced Moving Average to break $11,150 and if it does the $10K zone is could be imminent.
The Top 68 Cryptocurrencies Are Down Between 15-40%
So the dip has affected a great majority of digital assets as the top 68 cryptocurrency market capitalizations (except for tether USDT) are all in red seeing significant losses. The second highest market cap held by ethereum (ETH) is down 15 percent as one ETH is valued at $1,115. Ripple (XRP) is still commanding the third position, but markets are down 23 percent. The price per XRP is currently $1.40 or half of what it was two weeks ago. Bitcoin cash (BCH) prices are down 19 percent as one BCH is valued at $1,979 on January 16. Lastly, the fifth position is still held by cardano (ADA), but its markets have dipped 22 percent as one token is averaging $0.65. As usual, when market dumps proliferate, tether (USDT) is up 1.12 percent and priced at $1.02 per coin commanding the fourth highest crypto-trade volume.
Its safe to say cryptocurrency proponents are uncertain especially with the media hype and regulatory rumors stemming from countries like China and South Korea. Unfortunately, the reports have been conflicting, and no one has been able to pinpoint what is actually happening. For instance, South Korean trade volume is still very active and many cryptocurrencies there are trading at a premium ($14,775 per BTC on Upbit). Trade volume with the South Korean won has only dropped 1 percent since last week and exchanges are still trading many different cryptocurrencies.
Lastly, the rumors remind people of what happened January in 2017 when the PBOC started its exchange crackdown. Bitcoin’s price dropped from the $1,100 range at the time back into the $700 region following China’s regulatory action. Further, the price of BTC has dipped below its 50-day average which is traditionally followed by bullish sentiment looking at older charts. Alongside this, looking at charts from years prior, shows consistent dumps have taken place over the course of the past four years. After the January slumps the price has always bounced back to all new highs and traders are hopeful it will be the case again this time around.
Where do you see the price of bitcoin and other digital assets heading from here? Do you think cryptocurrencies will see more gains? Let us know in the comments below.
Disclaimer: Bitcoin price articles and markets updates are intended for informational purposes only and should not to be considered as trading advice. Neither Bitcoin.com nor the author is responsible for any losses or gains, as the ultimate decision to conduct a trade is made by the reader. Always remember that only those in possession of the private keys are in control of the “money.”
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The post Markets Update: The Top 68 Cryptos Dive During the January Slump appeared first on Bitcoin News.
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Author: Jamie Redman