‘Awful now’: 90% of top 100 cryptos now a sell after BTC plunges by $3,100 – analyst
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A top Aussie analyst says 90 of the top 100 cryptos are now “technical sells” after Bitcoin rallied and then plummeted overnight.
“We are now entrenched in supply-side markets,” he said.
People talk about buying the dip, but the market seems more interested in selling the rally, Capolingua said, noting what happened overnight.
On Binance, BTC reached a five-day high of US$43,500 around 3am AEDT, but then fell steadily, plunging by $1,500 in the space of the half-hour that ended at 9am. The drop later continued, with Bitcoin reaching a 10-day low of $40,400 for the close of the daily candle at 11am AEDT (midnight UTC).
The move mirrored a drop in US equities, which sold off heavily after a rally earlier in the session.
For cryptos, a bottom doesn’t look likely until Bitcoin falls into the $30s, Capolingua said, naming US$35,000 as a potential target.
“A bit of a blow-off, before it’s time, potentially, to buy Bitcoin for that next phase — at some stage it’s gonna pop up.
“It really is a confidence game, and the confidence is not in crypto right now, unfortunately.”
At 12.14pm AEDT, Bitcoin had recovered slightly, trading at US$40,797, down 2.5 per cent from 24 hours ago.
Crypto bulls in total disbelief pic.twitter.com/9tneoSgE4z
— Devchart 👨🏻💻 (@devchart) January 20, 2022
Ethereum was changing hands at right around US$3,000, having hit a 10-day low of US$2,972 also around 11am.
Overall the crypto market stood at US$2.02 trillion, down 2.9 per cent from 24 hours ago.
Only six of the top 100 cryptos were in the green, although only one – Secret Network – had suffered double-digit losses.
SCRT tokens were down 13.9 per cent to US$7.84.
Solana was down 7.3 per cent to US$125, the biggest dip of any top 20 coin.
Cosmos (ATOM) was up 4.3 per cent to $39.97, the biggest gains of any top 100 coin. Klaytn had edged 1.7 per cent higher.