Crypto Market Roundup May 23, 2022
The world’s largest and most recognized cryptocurrency, Bitcoin, rose 1.7% to the $30,425 level, where it has remained mainly since the collapse of the TerraUSD algorithmic stablecoin triggered a selloff in crypto. The gain on Monday followed a loss of seven straight weeks for the most significant digital coin, the longest losing streak since August 2011. Those losses mirrored those of the S&P 500, illustrating how closely linked stocks and crypto remain.
Ethereum outflows have been rapid on cryptocurrency exchanges in the past week, with nearly $5.7 billion worth of ETH leaving prominent digital asset exchanges. There were inflows of $4.8 billion during the mentioned period. Ethereum addresses holding ten coins or more reached 290,162 in January 2021. There are now 291,162 ETH addresses with 10+ coins, a 16-month high. The previous 16-month high was observed on May 23, 2022, when 290,126 were recorded.
In the week starting May 23, the Avalanche (AVAX) price gained 0.5% to reach over $31, but it remains trapped inside what appears to be a “bear pennant” structure. With its price moving toward the apex of the pennant, i.e., the point where the upper and lower trendlines intersect, AVAX is nearing a technical breakdown. However, AVAX’s breakdown set up toward $11.50 could fall short due to key support issues. The Avalanche token’s volume profile shows that it is trading near its point of control (POC), the level where the most traders have been since 2021, around $32.
Earlier this month, TerraUSD plunged by almost 100 percent, but the price of Terra Luna climbed to $0.0001949 in the last 24 hours. At the time of writing, TerraUSD’s price increased by 20 percent, while Terra (Luna’s) surged by about 18 percent. The Terra Luna price is up around 60% on Monday, according to CoinMarketCap data, after soaring 100% over the weekend.
Recently, the prices of stablecoin TerraUSD and its sister coin Terra (Luna) crashed. The result was a bloodbath in the crypto market. TerraUSD was down nearly 100 percent from its $1 value, and Luna was dragged down with it. Luna’s fall was caused by TerraUSD’s peg to the US dollar. Luna’s price also plunged since the two tokens’ prices are linked.
In the short run, Solana’s price is moving steadily towards $77.98. An upward trend of 48% could take investors to $80 by the end of the year. The bullish thesis for SOL will be invalidated if the daily candlestick closes below $44.91. Solana’s price has slowly climbed higher since moving above a stable support level two weeks ago. Patient investors can tap into the steady climb for crucial hurdles. During the crash, Sol plummeted 69% and swept below the range low of $66.19. It has been attempting to recover since then.
Investors expect SOL to gradually climb higher and regain lost ground. Therefore, the Solana price rally will boost interested market participants’ gains by 48%. If SOL flips its range low at $66.19 and makes its way to $77.98, it will reach this significant resistance level. In contrast to the other hurdles, this level has a great chance of stopping the bulls and Solana price from rising.
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