Why Is the Crypto Market Up Today?

The Bitcoin (BTC) price and the Crypto Market Cap (TOTALCAP) exceeded their previous highs. SEI reached a new all-time high price.

In the news today:

TOTALCAP Reaches New High

The cryptocurrency market cap has increased rapidly since October. In the past two weeks, the price struggled to reach a close above the $1.65 trillion resistance area, a horizontal resistance area that nearly coincides with the 0.382 Fib retracement resistance level.

However, the price initiated an upward movement this week and moved above this area, though it has yet to reach a weekly close above it.

If the increase continues, the next resistance will be at $1.87 trillion, created by the 0.5 Fib retracement resistance level. This is 10% above the current price. Then, resistance levels are confluent at $2.14 trillion, 26% above the price.

Despite this bullish TOTALCAP prediction, a breakdown and close below the $1.65 trillion resistance will invalidate the breakout. Then, TOTALCAP can fall 18% to the closest support at $1.40 trillion.

Bitcoin Moves Above $45,000

Like TOTALCAP, the BTC price has increased rapidly since October. The movement caused a breakout above the 0.5 Fib retracement resistance level at $42,300.

After the price consolidated above the area, it began another upward movement this week, reaching a high above $45,000.

If the upward movement continues, BTC can increase by 13% and reach the next resistance between $48,600-$50,500. This is a Fib and horizontal resistance area.

Despite this bullish BTC price prediction, closing below $42,300 will invalidate the breakout. Then, the price can fall 18% to the closest support at $38,000.

SEI Price Reaches New All-Time High

The SEI price has increased rapidly since December 18, 2023. The upward movement has been parabolic, leading to a new all-time high of $0.80 today. Since December 18, SEI has increased by 240%.

Technical analysts employ the Elliott Wave theory to identify recurring long-term price patterns and investor psychology, which helps them determine the direction of a trend.

The most likely wave count suggests that SEI is in the third wave of a five-wave upward movement. So far, wave three has extended and has 2.61 times the length of wave one. This is a potential area for a top, though there are no signs of weakness yet.

If SEI breaks out, it can increase by another 40% and reach the next resistance at $1.05 trillion, giving wave three 3.61 times the length of wave one.

Despite this bullish SEI price prediction, failure to break out can trigger a 30% drop to the closest support at $0.56.

For BeInCrypto‘s latest crypto market analysis, click here.