After the Federal Reserve stated at a meeting on Wednesday that it could hike interest rates two more times before the end of the year, market sentiment toward taking risks deteriorated, which led to a decline in the cryptocurrency market towards the end of the week.
The total capitalisation of the cryptocurrency market went from $1.10 trillion down to $1.02 trillion in the course of the past week. Bitcoin had a loss of about 6%, Ethereum lost over 12%, Ripple went down by 8%, while Litecoin’s drop exceeded 16% within the previous seven days.
Bitcoin
On Wednesday, Bitcoin broke out the 25,201 support level, and on Thursday, it was attempting to find stability below that level. If the breakout turns out to be true, the next target south is 23.830, which is a mirror-like support level marked with dotted lines.
If the breakout of 25,201 proves false, the main cryptocurrency's price could climb back up to the resistance at 26,480.
Ripple
The price of Ripple dropped down from a wide range of 0.4828 to 0.5513 as a direct result of the market's downward trend, which Ripple followed. If the price is able to consolidate below the 0.4828 level, the quotes may continue moving toward the 0.4397 level, which represents the next support.
In the case of the false breakout, another possible outcome would involve a retracement to the previous range and a subsequent recovery to the next closest target, which is 0.5097.
Ethereum
The price of Ethereum dropped below 1678.21. The value of the second cryptocurrency may continue to fall if the market remains under pressure.
At this point, the immediate objective for ETH/USD is the level of 1484.77, with still enough room for the price to travel toward it. If the news breakout of the level that occurred on Wednesday turns out to be false, a possible alternative scenario may involve a return back into the range of 1678.21 to 1784.02.
Litecoin
On Thursday, the price of Litecoin followed the market's downward trend and was challenging the stability of the horizontal support at 73.43.
There are two different outcomes that may occur with the LTC/USD pair given the current technical situation. The first scenario involves a drop in price to 64.70 or a return back into the range of 73.43-82.90.
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