Last week, volatility in the cryptocurrency market resulted in a staggering $100 billion loss. This decline was reflected in the global cryptocurrency market capitalization, which decreased by 4% to $2.36 trillion at the time of writing. These are the main cryptocurrencies to watch over the next few days.
ethereum falls below $3,000
ethereum (eth), the second largest cryptocurrency, saw its value fall below the $3,000 threshold.
<img decoding="async" width="1024" height="347" src="https://crypto.news/app/uploads/2024/05/ethereum–eth-16.58.02-12-May-2024-1024×347.png” alt=”Top Cryptocurrencies to Watch This Week: eth, BOME, HNT – 1″/>
ethereum attempted a last-minute rally in the latter part of the week, but the strategy failed under persistent bearish pressure throughout the week.
Like the previous week, eth started this week on an unfavorable footing, with a 2.37% price drop on May 5.
Following this initial drop, the asset continued its downward trajectory, experiencing three consecutive days of losses starting on May 8.
During this period, ethereum fell 5.3% and liquidations exceeded those of bitcoin (btc). However, it managed to hold strong support at $2,935, coinciding with the lower boundary of its Bollinger Bands on the daily chart.
The drop led to ethereum giving up the psychological price territory of $3,000, which it had recently regained towards the end of last week.
After retesting the $2,935 support level on May 8, ethereum staged a notable recovery the following day, rising 2.10% and once again surpassing the $3,000 threshold.
The rally proved fleeting, as a significant 4.17% drop on May 10 wiped out these gains entirely.
Despite efforts to recover, ethereum is facing downward pressure and remains below the $3,000 price level. At last check, the asset is down 6.4% for the week, with a market price of $2,934.
Lesser-known altcoins like Book of Meme (BOME) and Helium (HNT) also saw comparable declines.
BOME retests the 26-day EMA
The only meme coin on the list, Book of Memes, also felt the impact of market uncertainty despite its penchant for solitary gains during market declines. At the start of the week, BOME was trading well above the 26-day EMA.
BOME traded below this trend indicator throughout the past week, indicating bearish momentum. And the bounce that began last Wednesday culminated in momentum above the fundamental level.
The bears spent this week looking to push BOME below the 26-day EMA, a move that could trigger a cascade of price declines below $0.010. After retesting the moving average on May 6, BOME rose 7.89% on that day, bucking the overall market trend.
The bears caught up with it next, with a series of retests of the 26-day EMA recorded since then.
At press time, BOME is changing hands at $0.010863, trading slightly above the moving average of $0.010828. If it falls below the EMA, its last line of defense above $0.010 lies in the $0.010475 area.
Helium experiences an increase in selling pressure
Helium did not escape the broader market bearish trend, witnessing a three-day decline similar to that of ethereum at the beginning of the week. However, its losing streak led to a more substantial drop of 19.6% on May 8.
This sustained downtrend led HNT to leave the $5 price territory for the first time this month as it fell to $4.5. Despite the rally campaign that occurred on May 9, the resistance at $5 has been too powerful to overcome.
A retest of $5,126 on May 10 finally resulted in another price collapse.
Helium's inability to regain the $5 level has been the result of an increase in selling pressure. The Accumulation/Distribution metric has continued to fall throughout this month, going from -3,036 million on May 1 to -3,505 million at last check.
This sustained decline points to increased liquidations as market participants look to exit the market following the downtrend.
Additionally, data from Coinglass confirms that investors have deposited $2.127 million worth of HNT into exchanges since April 30, as currency inflows see a persistent rise.
