The total crypto market cap (TOTAL) is noting a decline as Bitcoin (BTC) and altcoins continue facing selling pressure. However, since this selling pressure is not as significant given among the altcoins, the highest drop is noted by meme coin BONK, observing a 10% decline in the last 24 hours.
In the news today:
Donald Trump, speaking at the Economic Club of New York on Thursday, pledged to make the US the “world capital for crypto and Bitcoin”. He promised to eliminate 10 old regulations for every new one.
Arthur Hayes, co-founder and former CEO of Bitmex, tweeted on X that he anticipates Bitcoin to drop below $50,000. Hayes mentioned that he has placed short positions on BTC based on this forecast.
The Crypto Market Falls Again
The total crypto market cap has dropped by $52 billion in the last 24 hours, ahead of the upcoming US Nonfarm Payroll (NFP) report. Investors are becoming more cautious as the report is expected to show a strong jobs figure of 161,000, which is 41% higher than July’s 114,000. This has raised concerns about how a stronger US economy could impact the already volatile cryptocurrency market.
With the total crypto market cap currently at $1.95 trillion, the NFP report could trigger a bearish trend. A strong US jobs report would bolster the US dollar, leading to a potential sell-off in crypto assets as investors seek safer investments.
Read More: 11 Cryptos To Add To Your Portfolio Before Altcoin Season
Total Crypto Market Cap Analysis. Source: TradingView
Despite concerns, the total market cap may not dip below the $1.93 trillion support level. However, should this floor be broken, the market could experience further declines, with the total crypto market cap potentially dropping to $1.86 trillion.
Such a downturn would likely exacerbate existing fears, potentially leading to more widespread sell-offs across the cryptocurrency market.
Bitcoin’s Price Loses Key Support
Bitcoin’s price is currently trading at $56,731 after falling through the support of $57,270. This level has been BTC’s floor for a little under a month, and a decline below it signals stronger selling pressure.
The drawdown affected by the aforementioned NFP report could send BTC down to $54,435, which could cushion Bitcoin’s fall.
Read more: Bitcoin Halving History: Everything You Need To Know
Bitcoin Price Analysis. Source: TradingView
A bounce back from $54,435 is likely and could send BTC up above $57,270. However, this would require a strong buying momentum from the investors.
BONK Has Bearishness Ahead
BONK is currently breaking down from a descending channel, signaling a potential 40% decline. Analysis shows that the meme coin could drop to a target of $0.00000992 as the downward trend intensifies. This pattern indicates increasing bearish pressure on BONK, which could lead to further losses if buyers fail to step in.
At the time of writing, BONK is trading at $0.00001589, reflecting a 10% decrease over the last 24 hours. The price is nearing $0.00001375, another significant support level, and a drop below it suggests waning investor confidence, driven by broader market uncertainties. However, should BONK hold this support, it could delay the anticipated 40% drawdown.
Read More: 7 Hot Meme Coins and Altcoins that are Trending in 2024
BONK Price Analysis. Source: TradingView
While the macro outlook remains bearish for BONK, a shift in market conditions could improve its chances. If BONK reclaims $0.00001732 as a support level, the current bearish thesis would be invalidated. Until then, the meme coin’s prospects remain weak amidst an overall negative market sentiment.
Disclaimer
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
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