The crypto market has rebounded after the recent Binance news shock, returning to levels seen before the incident. However, the resilience of crypto bulls is waning, necessitating an influx of fresh capital through the Stablecoins sector to sustain the current momentum.
Failure to do so could lead to a potential correction in Bitcoin’s price, with a support/resistance range between $31,000 and $32,000 looming. Meanwhile, Ethereum (ETH) has struggled to breach the crucial resistance level of approximately $2,136 against the US dollar derivatives in recent days.
After a profitable October and the first half of November, crypto investors have started shifting their focus to the stablecoins market in recent weeks. On-chain data analysis provided by market intelligence platform Santiment indicates that approximately 3.1 percent of Tether USDT’s total supply has been withdrawn from centralized exchanges in the past month. This decline in stablecoin reserves suggests an impending correction in Bitcoin’s price and a consolidation phase in preparation for the next breakout.
The Silver Lining
While the Chicago Mercantile Exchange (CME) opened the week with Bitcoin trading at a significant gap above $38,000, signaling a potential uptrend, the altcoin market is experiencing bullish momentum, led by meme coins. According to a well-known analyst known as Crypto Rover on the X platform, Ethereum’s price is poised to lead the entire altcoin industry into a major profit cycle.
Furthermore, TOTAL3, representing the market capitalization excluding Bitcoin and Ethereum, has successfully retested the support level around $408 billion and appears ready to rally towards $650 billion in the coming weeks.
