The total crypto market cap added $222 billion to its valuation for the last seven days and now stands at $2,321 billion. The top 10 coins showed mixed results for the same time period with Polkadot (DOT) adding 11.5 percent for the period while Solana (SOL) lost 13 percent. Bitcoin (BTC) is currently trading at $56,300 while ether (ETH) is at $3,570.
The bitcoin bulls successfully defended the horizontal support near $40,500 which resulted in the full capitulation of sellers by Sunday, October 3. The leading cryptocurrency ended September with a 7 percent loss but initiated a fresh new uptrend rally in the first days of the new month.
On Sunday, October 3 the coin reached the important $48,000 mark. This level served as a short-term resistance during the trend reversal attempt in mid-September and was now about to test the price momentum.
The weekly timeframe chart was looking good for the long-term BTC holders as it was suggesting the recent pullback is rather a temporary retracement than a beginning of a new bear market.
The new seven-day period started with a short green candle to $49,100 as buyers surpassed the Volume Profile Point of Control and BTC was now heading towards the psychological level of $50,000.
On Tuesday, two important short-term milestones were achieved. First, the mentioned critical horizontal level was broken, and second, bitcoin climbed above the three-point strong weekly downtrend line for the first time since mid-April suggesting a general reversal in the market direction might be upon us. It closed the session at $51,400 with a 4.7 percent of increase.
The mid-week trading on Wednesday, October 6 was no different as the cryptocurrency market was surging. Bitcoin was once again leading the group with more than 7 percent being added to its valuation and $55,000 was the next point of interest for bulls.
On Thursday, October 7 we saw a 2.8 percent price correction as profits started to flow from BTC to the lagging altcoins.
The last day of the workweek came with an attempt from bulls to break above $55,300, but the move was fully retraced and quickly absorbed by the sell orders located in that area, so the coin ended the day flat.
The weekend of October 9-10 started with a short green candle to $54,900 on Saturday. This was followed by another failed breakout attempt on Sunday. Bitcoin was 13 percent up on a weekly basis, still, it successfully surpassed the mid-term downtrend line.
The biggest cryptocurrency is currently trading above $56,000 as the uptrend rally was resumed at the beginning of the new week.
The Ethereum Project token ETH bottomed slightly below the $3,000 demand zone (at $2,760 to be more precise) and started moving in the opposite direction. The coin broke above the short-term downtrend on October 1 and by Sunday, October 3 reached the upper end of the old range.
The cryptocurrency market managed to quickly absorb the latest FUD coming from China and chose to follow the US…