Why Is the Crypto Market Down Today?

The total market cap (TOTAL) is attempting to secure the $2.3 trillion mark as support. At the same time, Bitcoin’s (BTC) price is also fighting the bearish cues to prevent a decline below $60,000. 

Amidst this bearishness is Bittensor (TAO), which has lost the most this past week, falling to a three-month low as a result.

In the news today:-

• Bitcoin staking platform BounceBit is set to launch its mainnet today. Along with this, the token airdrop and trading on Binance will take place.
• China’s CBDC, digital yuan, is observing selling at the hands of its users. The participants of the state-backed digital asset program are exhibiting concerns about holding the digital currency.

TOTAL Could See Some Upside

The total market cap is currently in a symmetrical triangle, testing the lower limit as support at $2.17 trillion. The upper limit has been attempted to be breached thrice, but it has failed. This shows that a breakout would require considerable bullishness from investors.

If this bullishness is not secured, a breakdown to $2.11 trillion will likely mark a two-week low. Losing this support would result in a sharp drop to $2 trillion, marking a two-month low. 

Read More: Why do Hong Kong Spot Crypto ETFs Matter?

Total Crypto Market Cap Analysis. Source: TradingView

On the other hand, if the bearishness fades and a breakout takes place, the likely uptick could push TOTAL to breach the $2.3 trillion multi-week resistance.

Bitcoin Price Is Still Safe

Bitcoin’s price is around $61,000, which has been a key support level for many days. Despite the slight decline noted in the past 24 hours, BTC still has a shot at recovery, provided the crypto asset breaks out of the downtrend and secures $63,700 as support.

This would result in a potential uptrend, which is key for investors to regain the losses they witnessed during the drawdown over the past two months.

Read More: Bitcoin Halving History: Everything You Need To Know

Bitcoin Price Analysis. Source: TradingView

However, losing this support would cause a drop to $59,119, invalidating all hopes of recovery and sending BTC to $58,000.

Bittensor Correction Continues

Over the last week, TAO price has noted a 22% decline, bringing the altcoin to $352. $350 acts as a crucial psychological support level, and a fall below it would send TAO to $304, extending the correction.

As is, the altcoin is at a three-month low, and the declining volume is supporting the bearish thesis.

Read More: Cryptocurrency Coins vs. Tokens: What’s the Difference?

Bittensor Price Analysis. Source: TradingView

However, if shifting cues from the broader market result in a recovery rally, TAO price could reclaim $377 as support. This would result in a rally beyond $400, enabling a recovery of the recent losses.