Crypto markets take a turn for the worse after hitting record highs earlier in the week, with Bitcoin down 6% near the $60,000 level.
Bitcoin (BTC) briefly fell below $60,000 on Oct. 22 as a correction after all-time highs deepened concerns about the market’s strength.
BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView
Trader eyes $56,000 minimum BTC buy-in
A rebound took the pair back above the $60,000 mark, but caution remained the name of the game as the week saw the price slide below $61,000.
“Was watching that $64K zone as a crucial level to break and the market has failed, so a corrective move is taking place,” Cointelegraph contributor Michaël van de Poppe summarized the situation.
“Overall; looking at $56–$59K as a good spot to buy Bitcoin.”
The previous all-time high at $64,900 turned out to provide little by way of new support, instead becoming more of a repeat resistance zone as bulls had little luck securing their newly-won gains.
Optimism, as is customary, came only from those adopting a longer-term perspective. Among them was popular Twitter analyst TechDev, who stressed that 2021 was still conforming to historical bull market trends.
“Final BTC impulse has ALWAYS been five degrees steeper than the run-up to the mid-cycle peak,” he noted alongside a comparative chart.
“Holding true so far. If it continues, and the $228K–$250K window is hit (two most historically reliable fib-based targets)… It would happen end of Jan. Will be interesting to watch.”
BTC/USD annotated chart. Source: TechDev/ Twitter
Ethereum tests traders’ resolve
Bitcoin thus relinquished the limelight to altcoins on shorter timeframes, the top twenty cryptocurrencies by market cap being led by Solana (SOL), up 13% in 24 hours.
Ether (ETH), fresh from a failed attempt to crack new all-time highs, dropped below $4,000 after a brief rebound.
ETH/USD 1-hour candle chart (Bitstamp). Source: TradingView
Bitcoin’s market cap share stood at 45.7%, reflecting the relative strength of alt markets toward the weekend.
The October “worst case scenario,” as Cointelegraph previously reported, meanwhile demands a $63,000 monthly close for BTC/USD.