The whole crypto market is in fear as the Bitcoin crashes down to 2-year low.
A Brief Market Overview:
In recent price action, the world’s premier cryptocurrency Bitcoin has gone down to $15.5k, a price level coin has last seen in the third week of November 2020. By merely looking at the historical data it is clear that Bitcoin is completing a virtual circle.
The bull market that began to intensify during the 3rd quarter of 2020, peaked an year after, on November 10th, when the Bitcoin hit an all time high of $68.7k. Now, as we stand almost 12-months after, Bitcoin is back at the $15k price mark. Considering Bitcoin’s current price, the coin is down 77% from the all time high.
While in the short term, Bitcoin crashing downwards may seem drastic, in the long run, that is what the market needs. The reason being that this is precisely how Bitcoin behaves, as after hitting an all time high, it must find a bottom before the coin turns bullish again.
For Ripple’s XRP, however, things are a little more interesting. As the general market environment is not the only factor influencing XRP’s price. For instance, the time when Bitcoin, together with all the other coins, was hitting all time highs on an almost daily basis, XRP was going downwards. The reason was the SEC’s lawsuit, which the agency filed in December 2020.
Now that the lawsuit is going pretty well for the defendant, lately, it has had a good impact on XRP’s price. As in the past couple of weeks XRP remained green while everything else was red. However, the recent market pressure proved too strong. Currently trading at $0.35, XRP is down 5.8% over the week.
At present, while the XRP has a support at $0.35, on the upside, it is resisted at $0.37. Assuming that Bitcoin has found the bottom, and the premier cryptocurrency sustains there for a while, the market will see an upwards move in the near future.