While Bitcoin (BTC) remains bear biased, Tron (TRX) and Augur (REP) recorded solid 5 percent gains against both BTC and the US dollar.
Throughout the past nine months, even after massive sell-offs, BTC has been able to defend the $6,000 support level relatively well, rarely declining below it. However, as cryptocurrency technical analyst Don Alt noted, if BTC drops below the $6,000 mark in the days to come, $5,800 is a possible target especially considering its low volume.
“Ugly daily close on BitMEX. The 4H is still at support and I generally don’t like shorting $6,00. That said this isn’t pretty, we need to crawl back above the daily resistance quick otherwise we might visit $5,800.”
Many traders have expressed their concerns over the sudden drop in the price of Bitcoin and the inability of the dominant cryptocurrency to recover to $6,500, a level the asset has maintained since August 9. Analysts have stated that if BTC fails to break out of the $6,400 mark in the next 12 to 24 hours, a fall under the $6,000 mark is unavoidable.
The volume of the cryptocurrency exchange market, which increased from $10 billion to $13 billion throughout the past two days amidst a sell-off, has declined back to $10 billion, which could likely lead BTC to approach its yearly low volume at $3.2 billion. Generally, traders believe that if BTC does not recover beyond the $6,300 to $6,400 range, it could fall below the $6,000 support level BTC managed to sustain for many months.
Augur, a highly anticipated project on Ethereum, is set to integrate its first major update since its Ethereum mainnet release earlier this year. The Augur V2, which feature various improvements in user interface and bug fixes, led the price of REP to increase substantially during a period in which investors are refraining from initiating in high risk, high return trades.
“These are specifically contract changes that affect the underlying protocol. All the UI feedback gathered in the wishlist thread has been reviewed and prioritized, and is being worked on in parallel. Augur App and the UI are receiving continuous updates,” the Augur team wrote. Tron recently released its new developer suite, which is expected to improve the flexibility of the Tron network by allowing developers to develop better decentralized applications (dApps) and platforms on top of the blockchain protocol. “These tools are aimed to help developers integrate innovative DApps into the TRON ecosystem with ease,” the Tron Foundation said. In the days to come, some tokens and major cryptocurrencies like BAT, Cardano, and Zcash that are anticipating major events such as a listing by Coinbase are expected to increase in value.
Featured Image from Shutterstock. Charts from TradingView.
Last modified: March 4, 2021 3:48 PM