Why Is the Crypto Market Down Today?

The total crypto market cap (TOTAL) and Bitcoin (BTC) are still mostly moving sideways with meagre discrepancies. However, some of the altcoins are facing worse circumstances like dogwifhat (WIF), which is down 10% today.

In the news today:-

• US District Judge Analisa Torres denied the SEC and Ripple Labs’ joint request for an indicative ruling, calling it “procedurally improper.” This decision creates uncertainty around the previously agreed settlement, which aimed to reduce Ripple’s civil penalty from $125 million to $50 million.
• The US Department of Justice indicted 12 more individuals connected to a crypto crime conspiracy worth $263 million. The group, which is involved in social engineering scams and burglary, also faces charges, with Tornado Cash co-founder Roman Storm being indicted today.

The Crypto Market Is Mostly Unchanged

The total crypto market cap has dropped by $10 billion today, settling at $3.28 trillion. While this decrease may seem minor, it still highlights a need for recovery in the broader market. For the market to bounce back, this level needs to hold strong as a support zone.

Securing $3.28 trillion as support is crucial for the total crypto market cap to regain momentum. If this level is successfully defended, TOTAL could push towards the next resistance at $3.40 trillion.

Total Crypto Market Cap Analysis. Source: TradingView

However, if broader financial conditions worsen, the crypto market could face further pressure. A failure to maintain the $3.28 trillion support could lead to a decline towards $3.16 trillion, which would invalidate the bullish outlook and suggest continued consolidation or a deeper correction for the market.

Bitcoin Needs A Strong Push

Bitcoin’s price is currently at $104,288, showing a slight increase over yesterday’s price. However, it remains trapped under the key $105,000 resistance level. The ongoing consolidation between $105,000 and $102,734 suggests that the market is waiting for clearer signals before moving in either direction.

If bearish conditions worsen, Bitcoin could potentially fall towards $100,000. This seems more likely than a bullish surge, as impatient investors might decide to sell, increasing downward pressure. A drop to $100,000 would signal a possible shift in market sentiment, delaying further gains for Bitcoin.

Bitcoin Price Analysis. Source: TradingView

On the other hand, if Bitcoin manages to breach the $105,000 resistance, it could target $106,265 as the next key level. Successfully surpassing this barrier would give Bitcoin a clear path toward $110,000, boosting investor confidence and breaking the consolidation pattern seen throughout the week.

dogwifhat Is Close To Losing Key Support

WIF price is down 10%, making it the worst-performing altcoin of the day. Despite the decline, the meme coin is managing to hold above the key support level of $1.000. This stability may offer some hope for future price recovery if broader market conditions improve.

Currently trading at $1.016, WIF remains under the support of $1.044. If further losses occur, the altcoin could drop toward the support of $0.859. This potential decline would challenge the bullish outlook, especially if broader market conditions worsen and fail to provide the necessary support.

WIF Price Analysis. Source: TradingView

However, if broader market cues improve, WIF has the potential to flip the $1.044 level into support. This move could drive the price up to $1.248, invalidating the bearish thesis and setting the stage for further gains. This would signal renewed investor confidence and potential upward momentum for the altcoin.