Weekly market recap(from May 25th to May 31st)
Last week, we saw that when ETH fell, BTC was supported and did not fall synchronously, and in the second half of the week, we saw a large drop on the correlation between NDX and BTC that remained high for half a year. Will these phenomena lead to new market trends? Our followers will know that we have talked about the lack of bullish power again and again over the past few weeks. Most tokens were pumping with high volume yesterday. This degree of bullish confidence has not been seen in nearly a month. Starting this week, important economic indicators of the U.S. will be announced one after another, hoping that bullish confidence can be maintained.
BTC
The price continued to be affected by the lower rail of the yellow area at the beginning of last week, and the price was squeezed lower, but it never fell under the 28,000 level. As bears were exhausted, the bulls moved the price into the yellow zone with a high volume on Monday. The prices have risen above the previous high.
Conclusion: Mostly fluctuation. While the rising has brought the situation back to a positive side, it is important to note that the recovery of the bulls is a bit late. When the bears continued to decay and the support level was tested, the price just began to rise slightly. Although the price has broken the previous high, whether the bullish power can continue, there needs to be a bullish confirmation point. So under the current analysis, we think it is more likely to fluctuate. We raised the support level to 29400, the last bullish confirmation point. For the resistance level, we move up to 34000, where there is strong bearish power.
ETH
Fortunately, the price moved like V this week. After the initial week, the price dumped, and then the bullish power intensified, recovering the part of the new low and returning above the support level(1900) again. The price is back in the yellow zone after Monday’s rising with high volume. Considering the momentum of destructive decline in the early last week, ETH is still weaker than BTC.
Conclusion: Mostly fluctuation. Although the price is coming back, it’s currently at lower levels in the bearish channel. The dumping last week made sense, and there will be still significant bearish power in the trend this week. And the support level may be retested. Based on last week’s performance, we maintain the support level at 1900 and the resistance level at 2150.
SOL
Last week, the situation of SOL was relatively close to that of ETH. At the beginning of the week, the price fell to a new low, and then the V-reversal happened, and the price returned to the given support level. We can see from the graph that three green candles were not covering three red candles.
Conclusion: Mostly falling. Observing the performance of SOL last week, there is still a decline of about 5% last week, which is the weakest performance of the three(BTC, ETH&SOL). So we lowered the support level to 40, which may be tested again this week. The resistance level remains unchanged(58), and the setting logic is consistent with ETH.
Disclaimer: Nothing in the article constitutes investment advice. The article objectively expounded the market situation and should not be construed as an offer to sell or an invitation to buy any cryptocurrencies.
Any decisions made based on the information contained in the article are your sole responsibility. Any investments made or to be made shall be with your independent analyses based on your financial situation and objectives.
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