Weekly Crypto Market Analysis with Geco.one 20.12.2021
The cryptocurrency market continues to be heavily influenced by supply pressures. It prevents the vast majority of projects from any major rebound, and as a result, they continue to decline. This trend can also be seen on the BTC chart, heading straight towards $ 44,900. It is there that the nearest support is located, in the vicinity of which a demand response could appear.
If this does not happen, and in the end, and this support is overcome, then one should be prepared for the possibility of further BTC depreciation to the level of $ 40 700, where there is another horizontal support on this market.
We could expect potential declines also on the Ethereum quotes soon. The price of this cryptocurrency is heading straight towards technical support of $ 3,650.
If this zone is crossed, the range of the potential depreciation would increase to $ 3,150, or even to the vicinity of $ 2,750.
The current situation on Solana’s quotations looks pro-declining, as the price has recently slipped below the technical support of $ 184. As a result of the subsequent upward correction, this zone was tested from below (as a resistance), and there was a slight supply response in its vicinity. Permanent rejection of this level may open the way for further drops to as much as $ 123.
Looking at the BNB quotes, we notice that the price of this cryptocurrency has been moving for several days in a relatively narrow consolidation between $ 505 and $ 547. Given that these patterns are corrective, which means that the market usually breaks out of them in the direction of the early move and that in this particular case, the move was a downtrend, there is an increasing likelihood that BNB will collapse. Below $ 505 would open the way for further drops to as much as $ 445.
The current situation on the Cardano also looks pro-decline. Although the price of this cryptocurrency has stabilized around $ 1.20 in recent days, it is probably only a temporary stop on the way to further declines, for which the support zone around $ 1.00 seems to be the real reach — $ 1.05.
We could also expect a continuation of the downward movement on the polka dot (DOT) quotations, the rate of which has recently dropped below the technical support of $ 26. In practice, this may increase the downside potential even to the region of the following support, which in this case is only around $ 17.