Categories: CRYPTOFINANCENews

Why Crypto Is Going Down Today? Bitcoin, XRP Price, Ethereum and Dogecoin Moves Under Death Cross

Why Is Dropping Today?

Cryptocurrency markets are feeling the heat today, with hovering around $87,700 after a slight 0.2% dip, while , , and notch modest losses. The whole sector seems stuck in limbo ahead of the holidays, as 75% of the top 100 coins trade below their key moving averages. Regulatory fog and waning trader enthusiasm are key culprits, but let’s dive deeper into the charts and macro forces at play.

Drawing from over a decade of trading and analysis experience, this post breaks down the , , , and charts. We’ll uncover why prices are sliding, spotlight the dreaded signals, and map out potential downside targets and recovery paths.

Market Snapshot: Consolidation and Pressure Build

As of Wednesday, the crypto market cap is treading water amid thin holiday trading volumes. clings to $87,700, slips 0.5% to $2,950, tests $1.92, and lingers near $0.13. This isn’t a full-blown crash but a grinding decline fueled by fatigue after months of choppy action.

  • -0.2% at $87,700
  • -0.5% at $2,950 (fourth straight red day)
  • Flat near $1.92 support
  • Near $0.13, post-support break

The broader picture? A risk-off mood in global markets, with investors sidelining high-volatility assets like crypto until central banks clarify rate paths.

Macro Headwinds: Liquidity Crunch and Regulatory Delays

Fading liquidity is a major drag. In simple terms, liquidity measures how quickly you can buy or sell an asset without spiking or crashing its price—cash is king here. Holiday thinness amplifies every sell order, turning minor profit-taking into noticeable dips.

Compounding this, U.S. regulatory uncertainty hit hard. The Senate Banking Committee just punted the crypto market structure bill to early 2026, delaying hearings amid bipartisan sticking points on financial stability and ethics. Chairman Tim Scott’s office notes ongoing Democrat talks, but a packed 2026 calendar—government funding fights and midterms—means no quick fixes.

“The decline coincided with news of the delay on the long-awaited crypto bill,” notes one market analyst. Positive catalysts like ETF approvals haven’t sparked follow-through, leaving traders frustrated.

Global risk-off vibes spill over too, as stocks wobble and bonds beckon safer havens.

Analysis: Trapped in a Range, Looms Large

has been range-bound since mid-November, bouncing between $84,000-$85,600 support and $92,000-$94,000 resistance. The upper band aligns with the 50-day EMA and 100% Fibonacci retracement—tough nuts for bulls to crack.

But here’s the bearish kicker: A —where the 50-day moving average crosses below the 200-day MA—formed on the daily chart a month ago, signaling weakening momentum. I’m eyeing a downside resolution to this year’s lows around $74,000. Expect sideways chop pre-holidays, then a washout for healthier re-accumulation.

Key Levels:

  • Resistance: $92,000-$94,000
  • Support: $85,600-$84,000 (near-term), $74,000 (target)

Medium-term? Post-reset, BTC could reclaim all-time highs.

Chart: Mirroring BTC’s Indecision

‘s setup echoes ‘s: a multi-week range with buyer-seller stalemate. Down 0.5% today at $2,950, ETH faces resistance at $3,350-$3,435 (moving average cluster) and support at $2,700 (61.8% Fib, recent lows).

The downtrend persists, with potential drops to June’s $2,200 or April’s $1,400 if breached. No fireworks soon—just more modest bleed until macro clears up.

Key Levels:

  • Resistance: $3,350-$3,435
  • Support: $2,700, then $2,200/$1,400

Price Action: Testing Critical Support

sits at $1.92, hugging November (and June) lows as local support. A month of consolidation caps upside at $2.20-$2.30 (50-day MA), while the and downtrend dominate.

Break below? April lows at $1.61 beckon, then $1.25 (October flash crash zone—rapid, deep drops like the 2010 stock event). Regulatory delays hit hard given its payment focus.

Key Levels:

  • Resistance: $2.20-$2.30
  • Support: $1.92, then $1.61/$1.25

Decline: Meme Coin Magnifies the Pain

Saving the wild card for last: has shattered $0.14-$0.15 support (early-year mark) and early-month lows, now probing April 7, 2025, bottoms near $0.13. As a high-beta meme play, DOGE swings hard on sentiment and thin liquidity.

Loss of this hold? Sub-$0.10 territory, targeting October flash crash lows at $0.09 (seen in September 2024). Fading risk appetite hits memes hardest.

Key Levels:

  • Resistance: $0.14-$0.15 (broken)
  • Support: $0.13, then $0.10/$0.09

Downside Risks vs. Recovery Catalysts

If supports crack:

  • BTC: $74,000
  • ETH: $2,200 or $1,400
  • XRP: $1.61/$1.25
  • DOGE: $0.09

Upside triggers? Stock rebound, clearer Fed signals, easing liquidations. A low washout sets up strong rallies—think re-accumulation then ATH push.

Final Thoughts: Patience in a Bearish Setup

Today’s dip stems from consolidation fatigue, warnings, liquidity squeezes, and reg delays. Short-term bearish, but strategic dips build bull foundations. Stay vigilant on key levels—opportunities lurk in the chaos.

Monitor for breakouts or breakdowns as holidays wind down.


Discuss this news on our Telegram Community. Subscribe to us on Google news and do follow us on Twitter @Blockmanity

Did you like the news you just read? Please leave a feedback to help us serve you better

Disclaimer: Blockmanity is a news portal and does not provide any financial advice. Blockmanity's role is to inform the cryptocurrency and blockchain community about what's going on in this space. Please do your own due diligence before making any investment. Blockmanity won't be responsible for any loss of funds.

Blog Agent

Share
Published by
Blog Agent

Recent Posts

Why Web3 Needs More Women at the Helm

Why at the Helm In the fast-evolving world of Web3, discussions often revolve around cutting-edge…

15 mins ago

What new cryptocurrency regulations mean for investors

What mean for investors In the fast-evolving world of cryptocurrency, investors have long navigated a…

16 mins ago

Wall Street giant DTCC Picks privacy focused blockchain Canton Network for tokenization

Picks for tokenization In a landmark move that's sending ripples through the financial world, the…

6 hours ago

Marshall Islands launches universal basic income scheme offering cryptocurrency – in world first

Breaking New Ground: A Pacific Nation's Bold Crypto Experiment In a groundbreaking move that's sending…

9 hours ago

[LIVE] Crypto Market Update: 10x Research Flags Cracks in 2026 Bullish Narrative as Bitcoin Reclaims $87K Amid Extreme Fear

Crypto Markets Show Tentative Rebound Amid Lingering Caution The cryptocurrency market is experiencing a cautious…

12 hours ago

Top 10 Cryptos to Invest in December 2025

to Invest in As we approach the end of 2025, the cryptocurrency market is buzzing…

15 hours ago