Weekly Crypto Market Brief

Bitcoin continued its consolidation period over the past week, forming a local top at $21.5k on November 5, 2022. It fell to the 200 MA on the 4h chart, after forming a distribution pattern on the lower time frames. Fear remains the dominant sentiment in the crypto ecosystem, as the Bitcoin accumulation period continues in the current bear market. The dollar remains strong, and there is no sign of a slowdown in interest rate hikes, a factor which triggers global fears and impacts the state of the equities and crypto markets.

Solana (SOL) also suffered a dip over the past few days, falling from $38.7 to $25 per coin after failing to hold over the $36.5 resistance level. At the time of writing, it has been bought up by bulls, who pushed the price level back above the $28 support level. Notably, it has just reached its lowest price in the current bear market, representing significant weakness for the renowned L1 blockchain. Holding above the $28 support is important for derivatives traders, as they would be able to carry on their futures trading activity within the consolidation zone for the coin.

Polygon (MATIC) on the other hand, broke through the bull flag over the past week, rocketing from $0.85 to $1.31 in a matter of days. It has since consolidated above the $1 level, printed candles with bodies in the $1.13-1.26 price range. The token has been among the most volatile in the crypto space in the current bear market, and traders would be attentive to more gains which could be achieved should it hold support at higher price levels.

Chainlink (LINK) broke past the 200 MA on the daily chart, in what is a major development for the token, as this is the first time it has been above this level since January 2022. However, it is still below the critical resistance zone reflected by the $9-10 price range, and will be looking to break through in order to reach the next critical level at $12.5 per token. Yet, holding support over the $8 level is a notable achievement for Chainlink, as it has failed to do so since August 2022. It is safe to say that investors and traders will be paying particular attention to the token in the coming period, in order to decide on their next move.