Which Crypto Top Gun Is Showing The Best Recovery?

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The crypto market is witnessing a major correction since a week or so. The correction is coming from all cryptos, not just Bitcoin. Most coins and tokens have lost about 50% within a timeframe of 48 hours or so.

Given the pace with which the markets are plummeting, it has become a dilemma among the retails investors if the markets are ever going to turn around anytime soon. The giants seem to be liquidating while the retail traders are in the HODL strategy. There is no majority of the same belief from either side – the over-pessimists believe that this is the end from cryptos, while some are optimistically stating that markets need to go for a correction after a massive bull run, as it is healthy for a maturing market.

After a week of watching the red ticker charts, the markets are slowly showing signs of hope – recovery. As of writing, the top four cryptos (excluding stable coins), are up 9% from its previous day close. While the markets with lower market cap are displaying a much higher recovery percentage.

However, to assess if the market’s recovery is going to turn the game towards the buyers or simply a retracement for the sellers, let us analyze the technicals of the four biggest cryptos – BTC, ETH, ADA, and BNB. Besides, let us also determine the markets that are having the best recoveries so far.

Following are the percentage drawdown of these markets –

Bitcoin (BTC) – 43% from ATH

Ethereum (ETH) – 56% from ATH

Cardano (ADA) – 59% from ATH

Binance Coin (BNB) – 59% from ATH

*Coins placed in decreasing order of market cap.

While the top altcoins have dropped over a 50% from their all-time highs, Bitcoin has relatively faced the lowest percentage dip with only 46%. However, does this mean Bitcoin is leading the best recovery game? Well, it does not quite work simply based on the percentage retracement. Because coins with lower market cap tend to be more volatile, and hence could have a better recovery than Bitcoin subsequently.

Bitcoin (BTC)

Bitcoin (BTC), when compared to other coins, had been underperforming lately. While it had been consolidating for about 80 days, altcoins were booming. When retail investors were expecting a new ATH past $60K, the update from Tesla and China, took the price beneath its Daily timeframe Support & Resistance.

From the level marked as Support, the buyers made an attempt to head higher, but got rejected from the sellers at the S&R as shown (ellipse). However, these sellers could not reach the new formed Support – indicating slight weakness. Today, the market is up 7% higher, and bulls seem to show some strength. But the current price action does not qualify to conclude that the sellers are done with selling yet.

Ethereum (ETH)

Ethereum had been observing a hockey stick growth until the crash that came in last week. A big positive on Ethereum (ETH) which can be ascertained is that fact the price held/is holding above the Daily S&R – clearly indicating the buyers are quite desperate here. Despite the sellers crushing down the prices, the buy buyers did not let the sellers taken over the game.

But the price action following through it is showing slightly a different angle of the buyers. After reacting off from the S&R for the first time, the sellers pushed the price below this level, in their subsequent drop. When compared to Bitcoin, the sellers were unsuccessful to breach below the previous low.

Cardano (ADA)

Cardano (ADA) is showing a similar trajectory as that of Ethereum. Though the drop in ETH looks deeper, the price action is more or less the same. After consolidating for about a couple of months, the market breached through 1.48 to make a brand new higher high. But, not to mention, the news brought the price pack to the same levels – making the new high look like a false breakout.

However, if we dive a little deeper, the story changes. Considering the wicks in the bottom as fake-outs, the market proves to hold above the buyer’s area (S&R).

The price is currently trading right at the S&R level, so it is about time to conclude the bulls are completely maintaining grounds.

Binance Coin (BNB)

Lastly, looking at Binance Coin (BNB), it is debatable that it is similar to Ethereum. Putting it right, BNB is indeed similar to Ethereum, but with higher volatility.

The push from the buyers does look powerful, but less powerful when compared to the sellers on the right. Also, relative to above three markets, the drop in BNB is steeper and stronger. That being said, the buyers are still alive in this market as the price is clearly holding above the demand zone at 240.

After witnessing the massive crash, the recovering is coming in, and coming in hot. With the biggest cryptos making a move, it is evident that the big money is flowing into the market yet again. It is about time and patience to see the markets totally recover from the crash. And we believe this market is still in-tact, with its strong fundamentals backing it.

Have you bought the discount yet? If not, you can easily get them on these trustworthy crypto exchanges. Happy investing!

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