The price of Bitcoin (BTC) declined in the early morning hours from $3,450 to $3,400, and since then has been stuck in a very narrow trading between $3,400 and $3,425. This is much less volatility than usual for the Bitcoin (BTC) market. In fact Bitcoin (BTC) has generally been sitting near the $3,400 level since dropping from $3,550 on Jan. 27.
The support level appears to be between $3,300-$3,350, with another support level sitting at $3,120, since that was the bear market minimum reached in mid-December. Meanwhile $3,500-$3,600 is the likely resistance level, since that was the price following the CME Bitcoin futures expiration on Jan. 25. If Bitcoin’s (BTC) price can break through this resistance or if it is pushed back will be a good test of whether CME traders went short or long for February.
Overall Bitcoin (BTC) is down 0.5 percent on the day. Other major cryptocurrencies have gone down as well today. Ripple (XRP) is down 2 percent. The 11 percent Ripple (XRP) rally caused by the SWIFT gpi Link announcement did not carry any momentum into today.
Ethereum (ETH) is down one percent and sits just under $108. If February ends up being another bear month, Ethereum (ETH) could possibly fall below $100. February is looking quite contentious for Ethereum (ETH), with the Constantinople hard fork scheduled for the end of the month, and the difficulty bomb causing miners to lose revenue and causing higher transaction fees on the network until then.
EOS is down 0.3 percent, Bitcoin Cash (BCH) is down 2.2 percent, Bitcoin SV (BSV) is down 2.1 percent, Litecoin (LTC) is down 0.4 percent, Stellar (XLM) is down 2.5 percent, Cardano (ADA) is down 2.6 percent, Monero (XMR) is down 1.5%, IOTA (MIOTA) is down 1.5 percent, Dash (DASH) is down 0.5 percent, and Dogecoin (DOGE) is down one percent.
Tron (TRX) is seeing the worst performance out of any major cryptocurrency today with a 5.6 percent drop, perhaps due to rumors that the SEC may be investigating Tron (TRX).
The total cryptocurrency market cap has dropped from $116 billion to as low as $113 billion today and has since then recovered to $114 billion later in the afternoon. Overall most of the gains from yesterday’s Ripple-led (XRP) rally have been erased.
Clearly, the bears are still in control of the cryptocurrency markets, and attempts at rallies are not lasting too long. It is not out of the realm of possibility that the total crypto market cap could retest the bear market low of $100 billion.