The cryptography market continued its downward trend on Saturday, May 17, most Altcoins erasing some of their recent earnings.
The Bitcoin (BTC) price fell from the summit of this week from $ 105,000 to $ 103,000. Some of the highest laggards were the PI network (PI), the Bonk (Bonk), the Floki (Floki) and the Grassouillant Penguins (Pengu), which dropped by more than 10%.
Bitcoin is often the main engine of the cryptography market. In most cases, altcoins rally each time the upper part is on an upward trend and falls when there is a retirement. For example, most of them have increased by two figures recently when Bitcoin broke the resistance to $ 90,000 and reached $ 105,900.
In this case, altcoins decrease because Bitcoin failed to cross the resistance at $ 105,000 and to retest its top of all time.
Crypto prices are also blocking due to taking advantage among investors who have benefited from the recent increase. Indeed, some of the best winners of the rally have become the best latecomers.
For example, Bonk, who dropped by 26% compared to its monthly pace, increased by almost 200% compared to its lowest level in April. Likewise, Floki increased by 162%, while the Pingou increased by more than 330%. It is common for cryptocurrency prices to be withdrawn after a solid rally.
The cryptography market is also down due to the overall market risks. While the United States has reached a truce with China, it maintained a 30%price. Officials also maintained the 10% reference rate on most goods in the United Kingdom, and talks with Japan have stalled. As such, there is a risk of recession in the United States, polymarket traders bringing chances to 38%.
Meanwhile, Moody’s, one of the three main rating agencies, lowered the United States on Friday after closing the market. He cited the country’s major public debt and Washington politicians deteriorate budgetary policies.
The cryptography market will go back
The best way to predict if the prices of cryptography will bounce is to watch Bitcoin. On the daily graphic, there are signs that he slowly forms the bull’s pennant pattern, including a vertical line and a triangle pattern.
Bitcoin also forms a model of cup and hand, a sign of popular bullish continuation. It also remains above the 50-day mobile average. Therefore, it can bounce back and reach its summit of $ 109,300.
Move above this level will indicate more gains in this cycle, leading to a strong rebound in most altcoins.
