The previous week witnessed significant turbulence in the cryptocurrency market, resulting in a staggering loss of $100 billion. This decline was evident in the global cryptocurrency market cap, which dropped by 4% to $2.36 trillion at the time of this report. Here is a look at the top cryptocurrencies to keep an eye on in the coming days.
Ethereum
falls below $3,000
Ethereum (
ETH
), the second-largest cryptocurrency, saw its value dip below the $3,000 mark.
ETH, BOME, and HNT prices – May 12 | Source: Santiment
Ethereum
made an effort to rally towards the end of the week, but it struggled against persistent bearish pressure.
Similar to the previous week, ETH started this week on a negative note, experiencing a 2.37% decrease in price on May 5.
Following this initial drop, Ethereum continued on a downward trend, facing three consecutive days of losses by May 8.
During this period, Ethereum saw a 5.3% decline, with liquidations surpassing Bitcoin’s (
BTC
). Nevertheless, it managed to hold strong support at $2,935, aligning with the lower Bollinger Bands boundary on the daily chart.
The drop led Ethereum to lose the psychological $3,000 price range, which it had recently regained towards the end of the previous week.
After testing the $2,935 support level on May 8, Ethereum saw a significant recovery the next day, surging by 2.10% and crossing the $3,000 mark once again.
However, this rebound was short-lived, as a notable 4.17% decline on May 10 erased these gains completely.
Despite attempts to bounce back, Ethereum continues to face downward pressure, remaining below the $3,000 level. Currently, the asset is down 6.4% for the week, with a market price of $2,934.
Lesser-known altcoins like Book of Meme (
BOME
) and Helium (
HNT
) are also experiencing similar declines.
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BOME tests 26-day EMA
Book of Memes, the only meme coin on the list, also felt the impact of market uncertainty despite its tendency for gains during market downturns. At the beginning of the week, BOME was trading well above the 26-day EMA.
Throughout the previous week, BOME traded below this trend-following indicator, indicating bearish momentum. A rebound that started last Wednesday led to a push above this crucial level.
Bears have been trying to push BOME below the 26-day EMA this week, a move that could trigger further price declines below $0.010. After retesting the moving average on May 6, BOME surged by 7.89%, defying the overall market trend.
Since then, there have been multiple retests on the 26-day EMA.
At the moment, BOME is trading at $0.010863, slightly above the moving average at $0.010828. If it drops below the EMA, the last line of defense above $0.010 is at the $0.010475 zone.
Helium faces increased selling pressure
Helium was not immune to the broader market downtrend, seeing a three-day decline similar to Ethereum at the beginning of the week. However, its losing streak resulted in a more significant 19.6% drop on May 8.
This continuous downtrend caused HNT to fall below the $5 price level for the first time this month, dropping to $4.5. Despite attempts to recover on May 9, the resistance at $5 has proven to be too strong to overcome.
A retest of $5.126 on May 10 led to another price collapse.
The inability of Helium to reclaim the $5 level is due to an increase in selling pressure. The Accumulation/Distribution metric has been consistently dropping this month, decreasing from -3.036 million on May 1 to -3.505 million at the latest check.
This sustained decline indicates a rise in selloffs as market participants seek to exit the market amidst the downtrend.
Additionally, Coinglass data confirms that investors have deposited $2.127 million worth of HNT to exchanges since April 30, with exchange inflows showing a continuous increase.
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