Cosmos Hits Five-Months High While Market Struggles for Direction
Bitcoin still hovering over $7,100
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The cryptocurrency market continues its struggle to find a directional bias over the Christmas holiday period, with most coins in the top 20 trading sideways.
Bitcoin held support around the $7,100 level after being quickly sold off from the $7,430 level on Thursday. CME and BitMex contract expirations today may be behind yesterday’s price movements.
Cosmos is posting strong gains after rallying to its highest trading level since July on Thursday. At current levels the ATOM/USD pair is set to close December with gains of around 20 percent.
Luna and Ethereum Classic are the notable gainers inside the top 100 by market capitalization, while Centrality and Silverway are currently the worst performers.
The total cryptocurrency market capitalization traded around $184 billion this morning. This is a loss of $13 billion from its current weekly price peak.
Cosmos is trading back towards levels not seen since July this year and is supported by strong dip-buying interest and increasingly bullish technicals.
A bullish ascending triangle pattern can clearly be seen across the higher time frames. Yesterday’s breakout above the $4.50 level has put the bullish triangle breakout has generated trader interest.
Watch out for continued gains towards the $5.30 technical region next month. The advance could even stretch to $6.00 if the pattern is fully ignited.
Key support is found at the $4.30 and $4.10 level, while key resistance is located at the $4.75 and $5.00 levels.
Total Market Cap
The value of the total market capitalization consolidated around the $184 billion level, as measured by TradingView.
Traders failed to defend the pivotal $188 to $187 billion support area, and this has led to a deeper bearish correction back to $182 billion.
A loss of the $182 billion support level could provoke even heavier losses towards the $175 support region, while gains above the $194 billion level should provoke technical buying until the $207 billion level.
Watch out for the formation of a large bullish reversal pattern if buyers can finally rally the value toward $207 billion.
According to the latest data from The TIE, sentiment toward the cryptocurrency market is neutral, at 49 percent.
Ethereum has the weakest intraday sentiment amongst the top 10, at 27 percent, while Bitcoin Cash has the strongest, at 79 percent.