The cryptocurrency market has lost nearly $100 billion over the past 24 hours as the bearish trend continues.

The bear market has arrived, and it’s in full swing since the all-time high of $3 trillion was set in November 2021. Bitcoin, Ethereum, and XRP have all declined by more than 50% since their respective all-time highs.

The Bitcoin price fell below $21,000 on Tuesday after a weekend of heavy selling pressure. The cryptocurrency plunges to as low as $20,800 on some exchanges before finding support and rebounding higher.

The Bitcoin price is now trading above the $21,000 level but remains well below the key $22,000 resistance level. The Ethereum price is also struggling to hold above the $700 level as it faces mounting selling pressure.

XRP has also been under immense selling pressure in recent days as it plummets towards the $0.50 level. The fourth-largest cryptocurrency is down more than 15% over the past week as it continues to lose ground against Bitcoin and Ethereum.

At press time, the total market cap is below the $900 billion regions. Bitcoin and the other major cryptocurrencies have recorded huge losses over the past few days.

At the same time, Bitcoin is trading above the $21k resistance level, losing more than 4% in the last 24 hours.

The price of bitcoin has strengthened over the previous 24 hours, going from $20,000 to around $21,300.

For the first time this year, Bitcoin’s market capitalization has fallen below $500 billion.

Bitcoin’s overall market cap rose to an all-time high of over $1 trillion in November. The price of one bitcoin, for example, has dropped by more than 65% since then.

Key levels to watch

The BTC/USD four-hour chart is highly bearish, with Bitcoin underperforming in recent days. The technical indicators indicate that Bitcoin has the potential to drop by a further amount in the short term.

Data Source: Tradingview

The MACD line is in the red, suggesting a very bearish market. 26 for the 14-day RSI indicates that Bitcoin is presently undervalued.

At the time of this writing, Bitcoin is trading at $21,183. If the pessimism in the market grows worse, Bitcoin could return to the $20k support before night falls.

In the near term, though, Bitcoin should avoid staying below $19,300 to reserve its gains.

Conversely, the bulls may stage a comeback to push Bitcoin past the $22k resistance level in the next few hours. However, before the end of the day, Bitcoin may find it difficult to break through the second barrier at $24,012.

The Bitcoin market has been incredibly volatile over the past few hours. The price of Bitcoin fell to as low as $20,000 earlier today. Before making a quick recovery and climbing back above the $21,000 mark.

The sell-off appears to have been caused by a massive Bitcoin whale that moved. Around 25,000 BTC ($575 million) from an unknown wallet to an exchange in just two transactions.

This large transfer of Bitcoin could signal that the whale is preparing to sell their Bitcoin holdings. Which could put further downward pressure on the market.

However, it’s also possible that the whale is simply moving their Bitcoin to prepare for a future bull run. Either way, it’s important to keep an eye on this situation in the coming days.

In other news, Bitcoin’s price has been volatile over the past 24 hours as investors reacted to the US presidential election.

At the time of writing, Bitcoin is trading at $21,200, which is still up from its 24-hour low of $20,000. However, it remains to be seen how long this recovery will last.

It will be nice to know your thoughts about this!

James Atkins

I have been writing copy for blockchain-related projects since 2017. I understand the importance of being able to communicate clearly and effectively with both technical and non-technical audiences. By leveraging my understanding of the crypto industry trends, I can help increase adoption in this rapidly evolving landscape.