The U.S Crypto Morning Session – June 4th, 2021

It’s been a bearish start for Bitcoin and the broader crypto market. Following Wednesday’s gains, the majors found early support before hitting reverse.

At the time of writing, Bitcoin, BTC to USD, was down by 6.35% to $36,736.0. A mixed start to the day saw Bitcoin rise $39,275.0 before hitting reverse.

Falling well short of the first major resistance level at $40,079, Bitcoin slid to a late morning intraday low $36,270.2.

The sell-off saw Bitcoin fall through the first major support level at $37,776.

Finding support at the second major support level at $36,326, Bitcoin moved back through to $37,000 levels before easing back.

The Rest of the Pack

It’s been a mixed morning for Bitcoin and the broader crypto market.

Through the morning, Bitcoin Cash SV rose by 1.28% to buck the trend early on.

It’s been a particularly bearish morning for the rest of the majors, however.

At the time of writing, Binance Coin and Chainlink led the way down, with losses of 10.28% and 11.85%.

Cardano’s ADA (-8.51%), Crypto.com Coin (-7.59%), Ethereum (-7.81%), Litecoin (-9.51%), and Ripple’s XRP (-9.55%) were also deep in the red.

Polkadot saw a relatively modest loss of 2.78% through the morning, however.

Through the early hours, the crypto total market rose to an early morning high $1,713bn before falling to a low $1,584bn. At the time of writing, the total market cap stood at $1,613bn.

Bitcoin’s dominance fell to an early low 42.23% before rising to a high 42.92%. At the time of writing, Bitcoin’s dominance stood at 42.61%.

For the Day Ahead

Bitcoin would need to break back through the first major support level at $37,776 and move back through the $38,629 pivot to bring $39,000 levels back into play.

Support from the broader market to break out from Thursday’s high $39,482.0. Barring a broad-based crypto rebound, expect this morning’s high $39,275.0 to cap any upside.

In the event of a broad-based crypto rally, the 38.2% FIB of $41,592 would likely come into play.

Looking beyond the support and resistance levels, we saw a bearish cross this morning, with the 100 EMA crossing back through the 200 EMA. We also saw the 50 EMA close in on the 100 EMA and 200 EMA supporting the morning sell-off.

Failure to move back through the first major support level at $37,776 would bring the second major support level at $36,326 back into play.

Barring an extended rally through the afternoon, Bitcoin should steer clear of sub-$36,000 levels.

In the event of an extended sell-off, the third major support level at $34,023 could come into play, however.