The crypto market has seen a countertrend bounce following a persistent weekend decline. Bitcoin has pulled up to the $16,000 level. It has gained 4.33% in the last 24 hours and holding at $16,498. Ether is up by 5.47% and trading at $1,160.
Many altcoins are basking in green. Litecoin is the biggest gainer. It has gained as much as 30% in the last 24 hours, followed by Solana 10.41%, Dogecoin 7.68%, Polygon 7.70% and XRP 5.42%.
Coming back to Bitcoin, it has retaliated against the bearish onslaught as the bulls have recovered 5% of losses. A pennant formation that surrounded the popular cryptocurrency throughout the two-week consolidation projected targets between $13,500 and $14,000. As such, the downtrend is likely to continue. Bitcoin’s gains today have been brought about by a bullish divergence reported on several altcoins during the New York session on November 21. Bulls might see significant resistance near the 8-day exponential moving average at $17,000. Analysts say a retest of the barrier could push for a stronger sell-off.
Edward Moya, the senior market analyst for Oanda, said the little boost recorded in the crypto market also has to do with Wall Street. But Bitcoin still remains in the danger zone as everyone waits for the next crypto domino to fall. Moya believes crypto traders are already pricing in bankruptcy for Genesis. He said the contagion brought in by FTX’s fall will impact many. A fresh catalyst is due for sellers to take control.
The fate of Genesis Global is held by a string as it’s in talks to raise fresh capital after suspending customer withdrawals last week. The crypto lender is the latest victim of the fallout from FTX’s collapse.