After an elongated downside streak crypto total market cap, is making a strong recovery.
Crypto’s total market cap chart shows a continuous decrease since Nov 10. After hitting an all time high of $2.96 trillion, total market cap dipped down to $1.92 trillion on Dec 4. Following that, leaving a long lower wick in place, total market cap bounce back. More significantly, the wick formed due to 0.5-0.618 Fib retracement support level, was created inside the support area of $1.85 – $2.07 trillion.
Nevertheless, despite a few bearish indicators, technicals are expressing a rather neutral look.
As though the Moving Average Convergence/Divergence (MACD) is going downwards, it is still positive. It is to be noted that MACD shows short- and a long-term moving average (MA).
Moreover, RSI (Relative Strength Index) is also showing a similar picture. As total market cap RSI stands above 50. RSI is used to judge the moment of a subject. RSI above 50 is a bullish indicator, and below 50 is a bearish one.
Famous crypto investor and analyst, @AltstreetBet, shared a chart on twitter, projecting that the total market cap could increase towards $2.6 trillion,
Further the daily total market cap chart provides a bullish outlook. Which is also confirmed by bullish divergence on the RSI chart and MACD too. This is a scenario that more often than not precedes bullish trend reversals. So, an upwards rally could be expected.
Total market is facing resistance at $2.37 trillion. In case of a break above $2.37 trillion the market cap will go upwards to $2.63 trillion.
Total Altcoin market cap is also standing at a similar point. As a bullish divergence is observable on MACD and RSI, there as well. Thanks to an ascending support line that the Altcoin market cap has been following since Sept 20, its position is relatively solid.