Crypto prices appear to be recovering from a major slump as Bitcoin price initiates a sluggish recovery. Most crypto assets like Ethereum are still showcasing losses on multiple timeframes as traders take a cautious approach post-Bitcoin halving. On Monday, Ethena (ENA) and Dogwifhat (WIF) kept showing losses while CORE rose 9%.
Ethereum is trading at $3,210 as the price recovers after dipping below the key psychological level of $3,000 last week. Since ETH is the biggest altcoin, its price action affects the valuation of the other altcoins. As a result, the Total3 market cap increased by 2.18% on April 22.
The much anticipated Bitcoin Halving finally occurred on April 20. This critical on-chain event will result in a massive supply shock potentially creating an upward pressure on the BTC price. However, due to pre-halving speculations, some analysts fear that the impact of halving might already be priced in.
The recent retail sales numbers and the CPi data for March have delivered massive blows to the rate hike expectations. The corresponding negative sentiment has resulted in a sell-off in risk assets like Bitcoin and equities.
The native asset of the leading DeFi protocol Ethena is currently in a downtrend. ENA price dropped below its $0.90 support last week but recovered quickly. Currently, it is trading at $1.07 after a great recovery but a daily candle closure below $0.865 will flip the market structure bearish, putting more downside on the cards.
The prevailing bearish sentiment in the market has triggered a wave of panic among the memecoin investors. Consequently, the popular memecoin WIF has plummeted more than 38% from its all-time high.
At press time, the leading meme-inspired digital asset, Dogwifhat stood at $2.97 after an 5.82% decline in the last 24 hours. The next key level to watch is the $2.75 support which must be held to avoid further descent.
Another digital asset which posted incredible gains last month is the native cryptocurrency of CORE DAO. After a steep drop to $1.09 last week, CORE crypto has shown almost a 140% recovery. The cryptocurrency is currently retesting its $2.50 resistance.
The following chart shows a strong likelihood of bearish continuation if the bulls fail to reclaim the $2.50 resistance on the daily timeframe.
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