Bitcoin Defends Key Support After Selloff; Still 35% Off High; Altcoins See Double-Digit Drops

The digital asset space traded under pressure for another day, with Bitcoin slipping below the $79,000 mark and major altcoins continuing to post double-digit weekly declines.

At the time of writing, Bitcoin (BTC) was trading at $78,937.14, down 2.65% on the day, with its market capitalisation hovering around $1.58 trillion. Trading volumes remained elevated at $29.49 billion. On a weekly basis, Bitcoin has fallen 11.47%, while losses over the past month stand at 13.72%.

"Bitcoin is showing signs of recovery, trading above $78500 after testing the crucial support at $74600. Multiple factors, such as US Manufacturing PMI coming in at 40 month high and RSI levels dropping to the 20-25 levels, put BTC on a technically strong footing. Historically, these metrics have preceded strong rebounds. Moreover, hopes of the US government's partial shutdown have also boosted investor confidence. For now, a weekly close above $74,000 is key to confirming a reversal, with resistance at $85,000." said Akshat Siddhant, Lead quant analyst, Mudrex.

Ethereum, Solana Lead Altcoin Declines

Ethereum also extended its correction, sliding 3.33% to $2,325.24, with a market cap of $280.64 billion. ETH has underperformed Bitcoin, shedding 23.10% over the past week and 26.02% over the last month.

Similarly, Solana (SOL) also remained under selling pressure, trading at $104.79, up marginally 2.98% intraday, but still down 17.54% over seven days and 21.83% on a monthly basis.

Other altcoins met witha similar fate in the market today BNB traded largely flat at $767.88, up 0.18% while XRP fell 2.85% to $1.60, the token has dropped more than 23% over the past month.

Interestingly, the most famous meme coin DOGE bucked the broader trend with a 4.49% intraday gain trading at $0.1087. However, Dogecoin Price is down by 27.29% in last 30 days.

As per CoinDCX research team, "The top gainers for the day include Hyperliquid with over a 20% jump, followed by Stacks by 18.5%, Memecore & Morpho by over 14% each, and Kaia by 13%. Besides, Monero records a 5.32% drop, Zcash 4.44%, Pump.fun 3.39%, and Story 2.05%. Despite the relief, the crypto market sentiments remain under fear, hinting that the market participants remain pessimistic."

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