JasmyCoin has recently experienced a significant decline, entering a bear market with a nearly 50% drop from its June peak. On Tuesday, JASMY was trading at $0.0230, showing a 20% increase from its lowest point on Friday when many cryptocurrencies saw a decline.

The token’s decline can be attributed to ongoing challenges in the crypto industry. The German government has been moving Bitcoins to exchanges, raising concerns about potential liquidations. Additionally, apprehensions about Bitcoin liquidations by Mt. Gox have contributed to a negative sentiment across the industry.

These events have caused a notable drop in the crypto fear and greed index, which has fallen from a year-to-date high of 90 to a level of 38. Typically, altcoins like Jasmy tend to drop when traders exhibit fear.

Analysts Remain Optimistic on JasmyCoin

The recent sell-off has alarmed many JasmyCoin holders as the price fell below critical support levels. It dropped below the 50-day and 100-day Exponential Moving Averages (EMA) and the key support level of $0.0275, its highest swing in March. This movement indicates that bears are gaining control.

Bears also point out that Bitcoin has formed a significant double-top chart pattern, suggesting it could drop to a support level of $44,000 in the near term. Such a move would likely lead to further downside for JasmyCoin and other altcoins.

However, JASMY bulls are optimistic about a rebound in the near term. A crypto analyst mentioned in a social media post that similar events, such as the moves by Germany, Mt. Gox, and various hacks, have occurred before. In most cases, these events, including the FTX collapse, were short-lived.

Jasmy fam, just a quick reminder that the bull run is NOT over. Do not get shaken out and take advantage of this opportunity. I’ve seen these moves countless times since 2016. From China ban, MtGox, Hacks, and so on….but here we are. Crypto and Jasmy are here to stay.

Another analyst, Ki Young Ju, founder of Cryptoquant, noted that Bitcoin’s market cap could absorb the liquidity from these events. He expects Bitcoin to bottom out between $47,000 and $48,000 before resuming its bullish trend, which would benefit JasmyCoin.

Despite potential liquidity dumps from the German government and Mt. Gox creditors, Bitcoin’s market can absorb it with an estimated -10.5% impact. The $47-48K level is expected to hold. Mt. Gox and government BTC selling won’t end this cycle.

The key JasmyCoin price level to monitor is $0.019, which aligns with the 200-day moving average and the lower side of the hammer pattern that formed on Friday. A break below this level will likely indicate further downside.

For more updates and detailed analysis on the cryptocurrency market, stay tuned to Global Crypto News.

Post Views: 7