Over the past 24 hours, the cryptocurrency market has bounced back from its 14-day slide, as major cryptocurrencies including Bitcoin (BTC), Ethereum (ETH), and Ripple (RPX) experienced a short-term rally.
The Bitcoin price surged from $6,462 to $6,766, breaking a descending trendline since May 5, a time during which the virtual currency was printing $9,906. As of writing, BTC was up by more than 4% since this time yesterday but almost flat week-on-week. BTC’s value is down by 21% from one month ago. Ethereum meanwhile gained 8.23% on Tuesday, adding almost 14% to its value since June 14. The crypto is currently trading at $534,11. Ripple, the third largest coin by market value estimated at $21.7 billion, is currently changing hands at $0.546, nearly 6% higher from Monday’s intraday low of $0.51.
While it’s way too early to say whether the bounce signals the beginning of another long-term rally, or that the market is gaining some breathing room from the recent correction, some indicators suggest the longer-term trend is bearish. In fact, bulls would have had a convincing long argument had Tuesday’s increase in value been part of a stair-stepping rise that would have taken major crypto prices above critical levels. That said, as long as BTC holds and consolidates above $6,500 look for $7,100. But again here, the longer-term trend is bearish despite the recent corrective attempts. So on the downside, if BTC falls back down to the $6,400 region, $6,250 and 6,125 are the next supports. And if the market remains bearish the coin may still fall below $6k. That last happened back in February.