After a volatile two weeks during which Bitcoin (BTC) and the rest of the crypto market has seen significant gains, the market has become relatively tranquil. Bitcoin (BTC) has been oscillating about the $5,000 level for two days, trading in a range between $5,100 and $4,930 but for the most part, hanging close to $5,000. Currently, the price of Bitcoin (BTC) is $5,050.
There is apparent resistance at $5,100, a level that Bitcoin (BTC) tested throughout most of the morning and afternoon but did not exceed. Beyond this, there is resistance at $5,300-$5,400, a level which has been tested four times since the beginning of April but has held strong. These are the levels to watch to see if Bitcoin (BTC) can break free from its current trading range and attempt a rally.
Trading data and the Bitstamp order book depth chart suggest that there is support for Bitcoin (BTC) at $4,800-$4,900. This support level is well above the long-term support level and bear market bottom of $3,100. The significant rise in Bitcoin’s (BTC) support level shows that the crypto market has become much more healthy since the bear market low in December.
Due to Bitcoin’s (BTC) stability and lack of direction, the rest of the major cryptocurrencies are mixed today. On the bulls side of the fence Bitcoin Cash (BCH) is up 1.6%, EOS is up 2%, Binance Coin (BNB) is the most profitable major cryptocurrency today with a 4.1% gain, Monero (XMR) is up 0.9%, and Dogecoin (DOGE) is up 2.1%.
As for the bears, Ethereum (ETH) is down 0.5%, Ripple (XRP) is down 1.1%, Litecoin (LTC) is down 0.5%, Stellar (XLM) is down 2.6%, Cardano (ADA) is down 0.4%, Tron (TRX) is down 1.2%, Bitcoin SV (BSV) is down 2.3%, Dash (DASH) is the least profitable major cryptocurrency today with a 3.5% loss, and IOTA (MIOTA) is down 1.4%.
It is notable that EOS, Litecoin (LTC), and Bitcoin Cash (BCH) are tightly clustered near a $4.8 billion market cap, putting these cryptocurrencies in contention for the number 4 spot on CoinMarketCap. This is causing these major cryptocurrencies to quickly fluctuate between ranks. For example, yesterday Litecoin (LTC) was ranked number 4, but today Litecoin (LTC) is ranked number 6 with Bitcoin Cash (BCH) in the number 4 spot.
The total crypto market cap has not changed versus 24 hours ago and currently sits near $171.5 billion. To put this in perspective, before the losses Wednesday and Thursday, the total crypto market cap reached a 2019 high of $186 billion. That said, the current total crypto market cap is over 70% higher than the bear market low of $100 billion.
All eyes are on Bitcoin (BTC) to see if it will push through its resistance levels and re-invigorate the bullish sentiment that has dominated for most of the past 10 days or if Bitcoin (BTC) will slide towards its support level. The trend since early February suggests that Bitcoin (BTC) will eventually rise higher than it is now in the coming weeks, but there are no guarantees in the infamously volatile crypto market.