Why Is the Crypto Market Down Today?

The total crypto market cap (TOTAL) and Bitcoin (BTC) did not witness much shift over the last 24 hours, maintaining their positions. DeepBook Protocol (DEEP) however, took the spot of the biggest loser of the day, falling by over 11%.

In the news today:-

• The SEC postponed its decision on the XRP Spot ETF until June 17, along with rulings on DOGE and Ethereum staking ETFs, possibly delaying until October. While this deferral disappointed bullish expectations, it didn’t significantly impact the market, with the SEC potentially deciding on the XRP ETF before October.
• Crypto lender Nexo, managing $11 billion in assets, announced its return to the US market after exiting in late 2022. The move follows changes in crypto regulations under the Trump administration, with Nexo co-founder Antoni Trenchev revealing the news at an event attended by Donald Trump Jr.

The Crypto Market Remains Unmoved

The total crypto market cap has decreased by $16 billion over the last 24 hours, currently standing at $2.92 trillion. While this marks a decline, it is more a typical market fluctuation rather than a significant downturn. This movement reflects the ongoing volatility within the cryptocurrency market.

TOTAL is currently holding above the $2.87 trillion support level, making a drop below this threshold unlikely under current market conditions. However, if market sentiment worsens, the market cap could slide further to $2.74 trillion.

Total Crypto Market Cap Analysis. Source: TradingView

If TOTAL successfully breaches the $2.93 trillion barrier, the crypto market cap could rise towards $3.00 trillion. Such a move would negate the bearish outlook and signal the beginning of a bullish trend.

Bitcoin Settles In Consolidation

Bitcoin’s price has remained relatively stable, consolidating between $95,761 and $93,625. For Bitcoin to break out of this range, it will require a strong catalyst to push its price either upwards or downwards. The current market shows limited movement without significant news or shifts in investor sentiment.

The Parabolic SAR indicator is currently acting as support, signaling bullish momentum. This support could push Bitcoin above the $95,761 resistance level, allowing it to target $98,000. A sustained bullish trend would likely follow if Bitcoin continues to hold above the Parabolic SAR, further strengthening investor confidence.

Bitcoin Price Analysis. Source: TradingView

If Bitcoin loses the support of $93,625, it could trigger a decline to $91,521. This drop would have a bearish effect on market sentiment, potentially causing more selling pressure. Such a move would signal a shift in momentum and could lead to further price weakness.

DeepBook Protocol Dips Slightly

DEEP price has dropped by 11% in the last 24 hours, trading at $0.196. The altcoin is currently testing the $0.170 support level, with a potential decline if selling pressure continues. Investors should monitor this support closely, as it will determine whether the downtrend persists or recovers.

If investors start selling to capitalize on current gains, DEEP faces the risk of losing the $0.170 support. A drop below this level could push the altcoin to $0.128, significantly weakening its price outlook. Such a move would further intensify the bearish sentiment and increase downward pressure.

DEEP Price Analysis. Source: TradingView

However, if DEEP manages to breach the $0.230 resistance, it could signal a continuation of its uptrend. This breakthrough could push the altcoin towards $0.304, invalidating the current bearish outlook and setting the stage for further gains. Maintaining above $0.230 would be crucial for sustaining bullish momentum.