Binance News
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Bitcoin Slumps to $42.2K as Solana Recovers from 20-Month Highs
According to Cointelegraph: Bitcoin is witnessing a downturn with its price dipping to $42.2K on Dec. 26, with analysts attributing its continued weakness to seasonal trends. However, Solana and Binance Coin seem to be bucking the trend with robust performances even in this slump.
BTC/USD 1-hour chart. Source: TradingView
BTC plunged 2% on the day to hit its lowest in nearly a week at $42,200. The crypto markets have struggled to display any significant upswing over the Christmas period, and Bitcoin bulls did not experience any holiday surprise or Santa rally.
Trading resource Material Indicators cited year-end profit taking and tax loss harvesting as potential factors contributing to this headwind for Bitcoin bulls. Additionally, they highlighted the 21-day simple moving average that stood at $43,115, which is around $400 above the spot price. This period is critical as Bitcoin has been using the 21-day trendline as support over the recent months.
BTC/USD 1-day chart with 21MA. Source: TradingView
While Bitcoin and Ethereum struggled, Binance Coin and Solana showed significant weekly gains. Binance Coin and Solana were up by 19.5% and 56.8% over the past week, respectively, while Ethereum was marginally up by just 1.6%. Solana's impressive performance is credited to increased gas fees and airdrops, hitting nearly $126 on Christmas Day, its highest since April 2022.
BTC/USDT order book liquidity data. Source: Material Indicators/X
Notably, traders have been predicting a brighter phase for altcoins as Bitcoin continues to lose momentum. Michaël van de Poppe, founder and CEO of the trading firm MN Trading, mentioned a noteworthy trend change for the overall altcoin market cap, indicating that Q1 might bring a 2x on the Altcoin market capitalization.
BTC/USD 1-hour chart. Source: TradingView
BTC plunged 2% on the day to hit its lowest in nearly a week at $42,200. The crypto markets have struggled to display any significant upswing over the Christmas period, and Bitcoin bulls did not experience any holiday surprise or Santa rally.
Trading resource Material Indicators cited year-end profit taking and tax loss harvesting as potential factors contributing to this headwind for Bitcoin bulls. Additionally, they highlighted the 21-day simple moving average that stood at $43,115, which is around $400 above the spot price. This period is critical as Bitcoin has been using the 21-day trendline as support over the recent months.
BTC/USD 1-day chart with 21MA. Source: TradingView
While Bitcoin and Ethereum struggled, Binance Coin and Solana showed significant weekly gains. Binance Coin and Solana were up by 19.5% and 56.8% over the past week, respectively, while Ethereum was marginally up by just 1.6%. Solana's impressive performance is credited to increased gas fees and airdrops, hitting nearly $126 on Christmas Day, its highest since April 2022.
BTC/USDT order book liquidity data. Source: Material Indicators/X
Notably, traders have been predicting a brighter phase for altcoins as Bitcoin continues to lose momentum. Michaël van de Poppe, founder and CEO of the trading firm MN Trading, mentioned a noteworthy trend change for the overall altcoin market cap, indicating that Q1 might bring a 2x on the Altcoin market capitalization.
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content. See T&Cs.
BTC
95,711.45
+0.82%
SOL
151.49
+2.72%
XRP
2.219
-0.39%
