After dropping below $40,000 earlier this weekend, bitcoin has been unable to reclaim that level despite a few attempts. The rest of the market is also relatively calm today, with ETH sitting beneath $3,000.
Bitcoin stalls below $40,000
After Monday’s crash, bitcoin went on the offensive and added several thousand dollars in a matter of days or so. As a result, it surpassed the January 2021 all-time high of $42,000 and continued to climb.
This culminated in a price increase towards $43,000, which became a ten-day high. However, this is where the bears stepped up and didn’t allow any further price jumps. Just the opposite, BTC reversed its trajectory and started retracing.
In fact, the price drop was quite sudden and the asset found itself back below $40,000 hours later as reported yesterday. It has shrunk to just over $39,000.
It tried recovering a lot of ground but was stopped in its tracks at $40,000. This is where it sits now as well, and its market capitalization stands at $750 billion.
These unfavorable developments led to a change in the general sentiment of the market. The popular Bitcoin Fear and Greed Index is now in “extreme fear” territory.
Altcoins Calmed
The alternative coins went through enhanced volatility during the week, with most mimicking BTC’s performance.
Ethereum, for example, fell from a ten-day high of $3,200 to below $3,000 in a matter of days. At present, it is still trading below the latter.
Binance Coin, Solana, Polkadot, and Shiba Inu are slightly in the green, while Ripple, Terra, Cardano, Avalanche, and Dogecoin are with minor price decreases.
As most small- and mid-cap altcoins are pretty quiet now, the cumulative market cap of all crypto assets remained in a similar position to yesterday at $1.850 billion.
