Price Analysis 5/17: BTC, ETH, XRP, BNB, SOL

BTC held on to key support over the last five days. However, it slipped below it as trading conditions worsened across the crypto market, and sentiment shifted to negative.

The fear and greed index significantly declined during the highlight, reducing from 73 to a low of 67. The metric explains the investors’ failure to continue the uptrend the market enjoyed last week. It reflects the drop in liquidity inflow.

Nonetheless, BTC is seeing a massive decline in trading volume. Down by 18%, current price action suggests that the asset is seeing a slight increase in selling pressure. The same trend spans across the sector. Buying and selling volume is down by over 9%.

The global cryptocurrency market saw slight decline over the last five days, dropping from $3.33 trillion to $3.25 trillion. Several assets are seeing massive declines at the time of writing. PI dipped by over 17% in the last 24 hours.

WIF is one of the top losers, dipping from $1 to $0.93. The 7% drop shows the asset retains massive volatility following its massive price movement last Friday. It surged to a high of $1.14 but lost momentum afterward.

The week started with significant positive fundamentals. However, they failed to affect prices across the market. What happened? Let’s examine how some assets in the top 10 performed.

BTC/USD

Data from CryptoQuant shows that BTC is seeing a notable increase in small whale activity. However, this activity is not having a massive effect on price. The spot volume bubble map shows that trading has been relatively flat. The biggest trading day was Monday, when the asset broke $105k and retraced to a low of $100k.

Bubbles remained the same for the next few days, indicating no massive increase in volume. This may explain the coin’s present price movement. Nonetheless, the exchange reserves are declining while inflows are increasing.

BTC is trading close to the $102k support. Prices hovered around for most of the seven-day session—data from Cryptoquant hints at an ongoing attempt to halt the downtrend. However, indicators are flipping bearish amid the range-bound movement.

The moving average convergence divergence displays sell signals as the 12-day EMA crossed the 26-day EMA, marking a divergence. Nonetheless, the relative strength index shows a gradual decline in buying pressure. It was at 71 on Tuesday, but currently trends at 66.

A previous outlook hinted at a possible slip below $102k. If this happens, the bulls will defend the $100k support.

ETH/USD

ETH had one of its best performances on Tuesday, surging from $2,415 to a high of $2,739. Although it retraced after attaining a fresh two-month high, it closed with gains exceeding 7%. Price action on this day erased the sluggish start to the week. However, this marked the only green in the last five days.

ETH started trending downhill on Wednesday, losing almost 3%. The downtrend is ongoing, and prices are struggling to keep above the $2,400 support. Down by over 2%, CoinMarketCap shows that the largest altcoin is experiencing a 20% decline in trading volume compared to BTC.

Data from CryptoQuant points to a drop in open interest as a probable reason for the decline. OI dropped by 2% in the last 24 hours, as the taker buy-sell ratio remains below 1.

Nonetheless, the relative strength index is currently at 66. The latest reading shows a significant decline from 81, which indicates an increase in selling pressure. MACD prints negative signals as the 12-day EMA edges closer to crossing the 26-day EMA. The ongoing bearish convergence may extend into the next intraday session if trading conditions remain the same.

XRP/USD

XRP is experiencing another significant decline following its Friday performance. It peaked at $2.44 but retraced to a low of $2.34. It recovered and closed with a doji. The asset slipped lower a few hours ago, retesting the $2.30 support. It trades a little higher than its low as it rebounded. 

XRP’s price action at the time of writing reacts to the notable drop in open interest. The drop in OI and the liquidation of long positions put more pressure on the highlighted price level. 

Nonetheless, the current losses are smaller when compared to the Thursday dip. It retraced from $2.57 to $2.35. The over 6% loss almost erases Monday’s price surge. However, the altcoin may end the week with no significant price change.

It is worth noting that the moving average convergence divergence prints negative signals. It displays a complete crossing between the 12-day EMA and the 26-day EMA. The current reading follows the massive spike in selling volume, as indicated by RSI. 

BNB/USD

Binance coin may end Saturday as its fourth day of consecutive losses. It is recovering from a significant decline to a low of $635. 

The one-day chart shows that the altcoin grappled with notable bearish rhetoric at the start of the week. It surged to a high of $692 on Monday but retraced and closed at $660. It sank lower the next day, hitting a low of $641. 

BNB briefly broke below its short-term support at $640. It remains to be seen if the efforts at price recovery will continue. Nonetheless, the relative strength points to the presence of notable selling pressure. The metric is trending at 56, far from 68 when it started the week.

Nonetheless, MACD’s 12-day EMA is edging closer to intercepting its counterpart. The histogram prints its smallest candle this week. 

SOL/USD 

Solana had its fair share of volatility over the last five days. However, it had its biggest upside movement on Tuesday when it rebounded off a critical mark. The asset retraced to the $166 support before rebounding and peaking at $184.

SOL ended the day with gains exceeding 5%. The coin struggled to continue the uptrend the next day, resulting in an almost 4% loss. A registered a similar loss on Thursday, but saw more buying action in the last 48 hours that slowed the descent. 

The moving average convergence divergence displays sell signals as the 12-day EMA crossed the 26-day EMA, marking a divergence. Nonetheless, the relative strength index shows a gradual decline in buying pressure. It was at 76 on Tuesday, but currently trends at 53.

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