Over the past 24 hours, the crypto market has seen $650.35 million in liquidations. Of these, $622.85 million were long-term liquidations. These long forced closures added to the downward pressure.
Bitcoin (BTC) saw $205 million in liquidations after losing 3.14% in 24 hours. The move came as a slight surprise after BTC rebounded from the $78.9k support level on Wednesday, May 13. It could only reach $82,000 before falling.
Stable bulls unable to regain the tops of their range
The recent Bitcoin sell-off impacted altcoin market sentiment and led to market-wide losses. Stable (STABLE) was down 18.7% in the last 24 hours. Earlier in the week, it appeared to have broken through a range it had been trading in since February.
During the last week of April, AMBCrypto had reported that STABLE was trading in a range of $0.024 to $0.039. Tuesday, May 12, a daily session closed at $0.04, above the highs of the range, confirming a breakout.
This approach did not last. After sweeping the $0.044 liquidity pocket, the bears took control, reinforcing the rapid losses of recent days.
Anticipate further losses after a brief rebound
The 1-hour chart showed strong bearish momentum and selling pressure. The A/D indicator and the Awesome Oscillator have dipped lower over the past 24 hours to reflect this.
Meanwhile, the Money Flow Index exhibited a bullish divergence. The price made lower lows while the indicator made higher lows.
By itself, this does not constitute a strong argument for a possible price rebound. However, two other factors support this idea.
The first is that the divergence is accompanied by a test of intermediate support. This could lead to a bounce towards the local resistance at $0.037 to $0.038, which was a support area in recent days.
The second factor was the group of long liquidations around $0.03. It is possible that a sweep of this strong magnetic zone could result in a brief price rebound as STABLE market participants sense overextended conditions.
A decline to the range low at $0.024 remains likely, especially as it approaches another large group of long selloffs.
Final summary
- STABLE’s breakout beyond the range highs was short-lived.
- Market-wide selling pressure could send the altcoin back to three-month range lows.
