Altcoins to Follow Bitcoin Price Action | The Black Wednesday of 2021?

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The cryptocurrency market has lost close to half a trillion dollars in market capitalization today. Currently, the total market cap of all cryptos combines is about $1.6 trillion, which is the lowest since February 2021. We know that Bitcoin is currently facing strong selling pressure because of various reasons. The solid downtrend in the world’s largest cryptocurrency started with the decision of Musk and Tesla to stop accepting Bitcoin (BTC) as a mode of payment due to environmental concerns. To add fuel to the fire, China’s crypto ban allowed Bitcoin bearish momentum to conquer the significant support areas. This article discusses the price aspects of Bitcoin and other popular altcoins with maximum losses.

Bitcoin (BTC)

The BTC/USDT pair has briefly touched the $30k mark on Wednesday, breaking the strongest support areas at $42k and $39k. This kind of downfall was never expected in BTC as experts have been considering this crypto to be least volatile in the mid of April to the beginning of May. January 27^th was the last time Bitcoin was under the $31k levels, and the price even went below the 200-period moving average. Since April 14^th, the value of this crypto fell by over 53%, which is massive considering that Bitcoin is a one trillion dollar asset.

The buyers started to take advantage of the dip, and we saw a quick recovery of the price. The immediate resistance level for Bitcoin is at $42,850, and on the daily & weekly timeframe, they are at $49,237 and $58,421, respectively. Wednesday has seen one of the highest crypto trading volume surges in 2021. The daily volume of BTC alone has crossed over $14 billion on the most popular crypto exchanges in the market.

Ethereum (ETH)

Ethereum (ETH) – a cryptocurrency with the second-largest market cap, also saw a bearish momentum in its price action. The price of the ETH/USDT pair was around $2,600, which is a 20%+ fall compared to the previous trading day. We should note that the price has dropped to a rock bottom of about $2,089, which is several months low in this crypto. From its recent all-time high value achieved on May 12^th, ETH has dropped by about 57% in value. Currently, the price of ETH is above $2,600, with immediate support at $2,145. The daily and weekly resistance levels are at $3,270 and $4,222, respectively. However, Ethereum seems to be the best option for crypto investors as it overtook Bitcoin by a large margin in terms of gains it generated since the beginning of this year.

EOS (EOS)

The EOS/USDT pair has seen a dip of 72% since its temporary peak on May 12^th at ~$15. On Wednesday, the price of EOS fell to the lower levels of $4.2 before correcting itself to $6.12. The immediate support levels for this crypto are at $4.45 and $3.64, so keeping a close watch on these levels is crucial if you are a technical analyst. The resistance levels to keep note of are at $9.41 and $12.07 as the price has struggled a lot at these levels before. The moving averages and other technical indicators show a buying trend on the lower levels. Therefore, if you are a scalper, you can take advantage of the small bullish price movements in this pair.      

Tezos (XTZ)

The Tezos cryptocurrency has recently seen its all-time high value on May 7^th at around $8.3. On May 19^th, the price of the XTZ/USDT pair has touched $2.69, which is a massive 68% fall in its value. According to expert analysis, Tezos has strong fundamentals and is poised for exponential growth in 2021. As per their price predictions, Tezos was undervalued even at its all-time high value of $8.3. So buying this dip can be lucrative if done at the right time. The current support level for this crypto is $2.88, and the resistance levels are at $6.01 and $7.24. 

Litecoin (LTC)

Litecoin (LTC) fell by about 64% on Wednesday from its current all-time high value at $413, which has been achieved on May 13^th, 2021. The price of this currency has reached the bottom at $147 before correcting itself, and it is now hovering above the $200 level. The immediate support can be seen at $131, and resistance levels to keep note of are $306 and $399 on higher timeframes.

Overall, we can see a clear bearish trend running in the crypto market, with other popular altcoins like Chainlink (LINK), Uniswap (UNI) and Maker (MKR) losing over 20% in a single day. If you are looking to take advantage of this price dip, you can easily buy Bitcoin and other major altcoins at some of the most popular and reliable exchanges in the market. Make sure to perform your due diligence before investing in any of your money in this space. All the best. 

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