Weekly Crypto Digest: crypto market still under pressure

The attached overview from Coin360 shows the performance of the crypto market over the past seven days. The total crypto market cap dropped significantly over the past week to a total of $1,742 billion.

Thereby, Bitcoin’s market dominance consolidated around 42%. The market dominance of number 2 Ethereum (ETH) remained stable at 18%. Ethereum’s market cap dropped to $310 billion.  

Ethereum looking for the bottom

Barring a brief spike up, Ethereum lost ground over the past week. The war in Ukraina still hangs like a dark shadow over the (crypto) market.
Earlier this week Ethereum did recover briefly, but the advance was short-lived: the resistance of $3,000 proved much too strong, after which Ethereum fell towards $2,500. Support can be expected around $2,200.

The crypto markets seemed to benefit from an “accidentally” leaked message from Janet Yellen. The message from the US Treasury Secretary contained information on how Joe Biden plans to deal with crypto currencies and the message was quite positive.

The decree was issued calling on the US government to examine the risks and benefits of cryptos.

It also includes topics such as consumer protection, financial stability, illegal activities, US competitiveness, financial inclusion and responsible innovation. Not surprisingly, the Biden administration is exploring a digital version of the dollar.

For now, the rally did not continue and it is important for crypto markets to stay above crucial support levels. For Bitcoin, that’s $33,000 and for Ethereum it’s $2,200.