The Crypto Market is Down Today: What is the Main Motivation Behind the Decline?

Crypto News – Following notable increases, the price of Bitcoin (BTC), Crypto Market Cap (TOTALCAP), and ORDI began to decline.

The Crypto Market is Down Today: What is the Main Motivation Behind the Decline?

Since September 11, TOTALCAP has risen in tandem with a rising support trendline (black). After the price formed a sharper ascending support trendline (white) on October 11, the upward rise picked up speed. In the end, on October 18, TOTALCAP produced a trendline that was considerably steeper (yellow).

Despite the rise, TOTALCAP has somewhat decreased after reaching a record annual high of $1.40 trillion on November 13. A rising wedge, which is typically seen as a bearish pattern, is also within its movement. An indicator of the upcoming trend is whether the price breaks down or bounces at the wedge’s support trendline. The ascending support trendline at $1.25 trillion is the next target, a 9% decline away, should TOTALCAP collapse.

Bitcoin Has Hit Its Highest Level Of The Year In The Past Days

Additionally, since October 23, the price of Bitcoin has moved inside a rising wedge pattern. On November 9, Bitcoin broke out of the wedge, despite the fact that it is seen as a bearish pattern. That same day, the breakout in the price of Bitcoin led to a new yearly high of $37,978.

The wedge’s resistance trendline was validated today (green icon), despite the fact that the price of Bitcoin has since dropped. Bitcoin might rise by 8% and hit the next resistance level, which is about $40,000. This is assuming the bounce results in a long-term rising trend.

ORDI’s RSI Value Also Declined

Since November 8, the price of ORDI has rapidly escalated. On November 13, the increasing trend reached its peak at $24.35. Subsequently, the price formed an extended upper wick and has since declined. A bearish divergence in the Relative Strength Index (RSI) preceded the decline.

ORDI may drop another 20% and hit the $16.25 support level if the decline keeps on. It would, however, invalidate the divergence and allow for a 40% climb to the next resistance level at $28, should prices rise over the $24.35 high.