Weekly Crypto Market Brief

Bitcoin has remained in the $17.5k-23k range over the past week, as the market remains deeply oversold and in extreme fear mode after the prior market collapse. It has been attempting to establish a current support zone at $20k and appears to be going through an accumulation period at this time. Yet, there is evident weakness in the market, as reflected by the fact that Bitcoin could be closing a second consecutive weekly candle below the 200 weekly MA, for the first time in recent memory.

Avalanche (AVAX) has been forming a bearish channel in the recent period, dropping from about $37 in mid-May to a local bottom of about $14 on June 18, 2022. Since June 12, it has formed a basing pattern, and will look to test and break resistance levels at $21.5 and $24 to reclaim some market bullishness and strength. It seems to have regained the 200 MA on the 1h chart as support, and is boldly approaching the 200 MA on the 4h chart at the time of writing.

Polygon (MATIC) experienced a period of consolidation from May 12 until June 10, 2022, before dipping from $0.60 on June 11 to a local bottom of $0.32 on June 18. It then recovered its losses admirably in a span of six days, forming a V-shaped recovery as it rose to the $0.63 level on June 24. It has also reclaimed the 200 MA on the 4h chart as support, for the first time since April 6, 2022. This is a significant achievement which reflects the relative strength of this particular token in the current difficult market conditions.

Chainlink (LINK) has remained relatively weak in the current bear market, with repeated testing of the $5.30 support amidst a ranging pattern with a bearish bias. Since mid-May 2022, it has traded between the low at $5.30 and the local top at $9.60 per token. On June 6, it briefly broke past the 200 MA on the 4h chart and held it as support, but then fell below it after rising to its local top on June 9. To its credit, it remains above the 200 MA on the 1h chart, but will need to reclaim the $7.50 level as support in order to avoid further potential downside in the market.

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