As the cryptocurrency market burns down for its worst crash in years, Twitter is on fire with red-striped graphics, suggesting a new crypto winter is here.
The sharp slowdown occurred during a bearish week for Wall Street stocks, a correlation that did not escape sight:
I’ve never wanted to see this, but if you look at the graphics it’s obvious:#Bitcoin never had a bull without #Nasdaq to support.
In fact, if the correlation falls, it is even a bearish signal, as this has occurred mainly on the Nasdaq declines. pic.twitter.com/OFb2eN9o5q
– CryptoNaut.UST ???? (@ CryptoNaut1000) May 12, 2022
Despite working on what must have been the most creepy fire drill in recent memory, some traders tried to joke about the exhausted days spent glued to the screens of their computers, watching as assets fell to the ground.
If you were wondering, the mysterious chart turned out to be the price of the Luna currency, the cryptocurrency token designed to boost the stablecoin Terra USD currency, which was designed to remain consistently valued at $ 1, but sank to less than 40 cents in recent years. days. Luna, meanwhile, dropped from nearly $ 120 in early April to about 1 cent this Thursday.
To fully appreciate the prices of long-term cryptocurrencies, you really need to represent them on a record chart. pic.twitter.com/MCPfMmn8UG
– cephalopod_v7_final_2.xlsx (@macrocephalopod) May 12, 2022
The dramatic disappearance of Luna could finally be one of the most important events in the short history of the crypt.
But overall, global cryptocurrencies have lost nearly $ 500 billion in the last week, which means many more tokens are in their own world of pain. For example, Litecoin, which ranks among the top 20 tokens by market capitalization, is due to pre-pandemic pricing (i.e., pre-cryptocurrency craze).
Only people who follow the basics and not the graphics would understand how incredibly underrated ATM is. pic.twitter.com/RiHpx7lyfC
– Jaxx Ⓜ️ ???? ️ (@BtcLtcforlife) May 11, 2022
Even Bitcoin, the world’s largest cryptocurrency, with a market capitalization that has surpassed $ 1 trillion at its peak, is in trouble. This chart shows that Bitcoin has not only fallen below its January 2021 price, but is also missing thousands to reach a calculated support line, which refers to a low point where probabilities converge so you can expect let people start buying the download. thus raising the price.
$ BTC fell below its January 2021 ~ 28K low. According to the weekly chart, there is no support until the maximum of December 2017 ~ 20,000. It does not necessarily mean that you will get there this week. In January it seemed to be heading for 29,000, but reached a fund of ~ 33,000. That is the lowest potential target for May pic.twitter.com/ubEQOf5CGx
– CyclesFan (@CyclesFan) May 12, 2022
Meanwhile, a data analytics firm seems optimistic that the support line is close, but that doesn’t distract attention from the overall ugliness of the chart.
Remember the #Bitcoin March weekly chart?
Updated chart below.
The most respected body support line of 2018 (202 week EMA) acted as the first line of defense.#Bitcoin $ BTC $ BTCUSD #BTC #criptomoeda #Crypto
???? Did we find the BEST respected mobile media line ???? Follow us https://t.co/xHprhMdIHb pic.twitter.com/Gl3Qo8DAL4
– Auto.MA.T.Ka (@Auto_MA_T_Ka) May 12, 2022
Ethereum, the second largest cryptocurrency, has also dropped to pre-2021 levels as the community licks its wounds and waits for support:
???? My thoughts on the ETH market are these …
Below is the weekly chart for ETH, and as you can see, we are testing an old weekly support that ranges from $ 1600-1800.
Can I see that ETH stands firm here, worst case perhaps a drop to $ 1200 or so ???? pic.twitter.com/KrGPPERDrd
– .jpgPapii (@jpgPapiii) May 12, 2022
And Coinbase, the cryptocurrency exchange platform that had a nasdaq stock market success last year near the height of cryptocurrency fanaticism, is not doing better:
The Coinbase chart is doing a nasty reverse parabolic price action that looks like it can double space and time. pic.twitter.com/ivbN4SZ72I
– ???? Chillzill ₳ ????????????????????? (@Chillzillaaa) May 12, 2022
But if that’s too much, maybe it’s time to take a break from DexTools and try to keep the faith you have left. HODL, WAGMI! Let’s wait.
Don’t look at the lists, enjoy a few days of family rest, why are exciting times ahead ????
– ???? CRYPTO GENERAL ???? (@DaCryptoGeneral) May 8, 2022