Mike Smith
November 15
Following the end of the "Trump rally," the cryptocurrency market has entered a correction phase. For the first time since Donald Trump’s victory in the U.S. presidential elections, Bitcoin ETFs have seen a significant capital outflow, totaling $400.7 million. Simultaneously, Ethereum derivatives lost $3.2 million, causing the market capitalization of BTC ETFs to drop to $55.9 billion and ETH ETFs to $9.7 billion.
The current state of the flagship cryptocurrency shows a decline to $86,693 on the Bitstamp platform. Despite bearish attempts to breach the $87,712 support level, corresponding to the 23.6% Fibonacci retracement, a decisive breakthrough has yet to occur. However, the observed reduction in trading volumes creates favorable conditions for further price drops. Experts predict Bitcoin could fall to the $84,000 range, aligning with the 38.2% Fibonacci retracement level. The likelihood of reaching the 220-hour moving average at $82,900 is considered low.
Ethereum’s situation appears more precarious. After hitting a local peak of $3,451, the altcoin’s price slid to $3,018, breaking a critical resistance level. Currently, the price hovers around the 220-hour moving average, coinciding with the 38.2% Fibonacci retracement level. Reduced trading volumes suggest the downward trend is likely to continue, with the potential for prices to dip below the psychological $3,000 mark. Analysts anticipate further declines could push the price to $2,927, where a local bottom might form.
CryptoQuant analysts offer an intriguing perspective, highlighting sustained high demand for Bitcoin. The emergence of new investors, they argue, could offset current selling pressure and prevent a significant price drop. The market continues to exhibit signs of institutional interest, which could serve as a stabilizing factor in the mid-term.
