CDS Crypto News Why Is the Crypto Market Down on October 31st?
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Why Is the Crypto Market Down on October 31st?

Bitcoin and Crypto Market Analysis: Can TOTALCAP Break Out, Bitcoin's Triangle, and RNDR's Struggle

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Why Is the Crypto Market Down on October 31st?

Why Is the Crypto Market Down on October 31st?

Crypto News – The Bitcoin (BTC) price and the Crypto Market Cap (TOTALCAP) have encountered significant challenges following their respective yearly highs. Render (RNDR) faced a setback before achieving a new annual peak.

Binance CEO Changpeng Zhao articulated his belief that fiat currency would continue to hold a crucial role within the financial sector’s future landscape. Moreover, there is speculation that the Chicago Mercantile Exchange (CME) might surpass Binance in terms of Bitcoin (BTC) futures open interest, a perspective put forth by VanEck.

Anticipation Surrounding TOTALCAP’s Breakout

TOTALCAP exhibited notable growth since October 12, culminating in a yearly high of $1.27 trillion on October 24. However, the price subsequently retraced beneath the $1.25 trillion resistance threshold, confirming its role as a formidable barrier.

The significance of the $1.25 trillion level lies in its prolonged presence since April, making it a pivotal determinant for the market’s future trajectory. Although TOTALCAP recorded its highest weekly close of the year at $1.25 trillion recently, it has once again dipped below the $1.25 trillion resistance mark.

Should TOTALCAP experience a breakout, it could potentially surge by 16%, setting its sights on the subsequent resistance level at $1.44 trillion. Despite this optimistic scenario, a rejection from the $1.25 trillion resistance could lead to a 13% decline, potentially falling to the $1.10 trillion support zone.

Bitcoin’s Ascending Triangle Formation

Why Is the Crypto Market Down on October 31st?

BTC’s price has been confined within an ascending triangle pattern since achieving an annual high of $35,198 on October 24. The ascending triangle is typically perceived as a bullish indicator, implying that a breakout to the upside is the more probable outcome.

Nonetheless, despite the bullish pattern, BTC’s price currently teeters on the edge of its support trendline, increasing the risk of a breakdown. A breach of this trendline could result in a 6% decline, with the closest support standing at $31,900. Conversely, should the breakout materialize, a 7% increase, targeting $36,500, can be projected by measuring the triangle’s height to the breakout point.

RNDR’s Price Retreat Preceding a New Yearly High

Why Is the Crypto Market Down on October 31st?

RNDR’s price had previously broken free from a descending resistance trendline in September, allowing it to recapture the $1.80 and $2.30 horizontal resistance levels. Despite this upward momentum, the price fell short of attaining a new yearly high, peaking at $2.68, just shy of the primary resistance area at $2.80, before experiencing a decline.

In the event of a price drop below the $2.30 level, a 25% reduction could ensue, potentially leading to a descent to the next support at $1.80. Conversely, a rebound at the $2.30 support could trigger a 20% upswing, targeting the nearest resistance level at $2.80.

Why Is the Crypto Market Down on October 31st?
Sources:Bein Crypto

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