Crypto Total Market Cap. Long-Term | Going Back Above 1.55THere on this chart we have the capitalization of the cryptocurrency market long-term, a duplicate of the Bitcoin chart in many ways...
Let's have a look.
We are seeing MA200 and EMA300 failing as support.
It is the first time ever that TOTAL trades below EMA300.
We know for a fact how common it is for any crypto-asset to go below a main/strong support level just to quickly move back above it.
In fact, many times the breakdown of a long-term support level signals the end of a bearish trend.
Here we see the breach of MA200 which has happened before back in March 2020 and December 2018.
Both times this event marked a low that was followed by very strong growth.
On the other hand, EMA300 has never been breached in the past and was tested only once in March 2020.
This marked the low of that cycle.
In 2022, TOTAL tested EMA300 as support in June and July and the level holds.
Next again in early November when this important level failed as support.
EMA300 stands at 842.146B.
We can already see the early recovery signals;
A bottom pattern forming,
Bullish candles showing up and the strong RSI.
Then we have a not so well understood signal with the Ichimoku cloud.
The GREEN clouds tend to be pierced DOWN, while the RED clouds tend to be pierced UP.
Looking at this signal, we can expect cryptocurrency to behave as it did back in early 2019.
It will back above 936.142B in a matter of weeks and mid-term we can even see 1.21T challenged and even beyond 1.55T before the bulls retreat.
Namaste.
