The bullish optimism seen earlier in the week was dialed back on Nov. 4 after recent comments from United States Federal Reserve Chairman Jerome Powell confirmed that the central bank would soon start to taper its monetary policy of easing and bond-buying.
Data from Cointelegraph Markets Pro and TradingView shows that the price action for BTC flashed a warning when the price briefly dipped to $60,400 on Nov. 3 and currently BTC is struggling to hold the $61,000 level.
Ether has also seen its price inch lower over the course of the day after setting a new record high of $4,664 on Nov. 3. At the time of writing, the top altcoin is trading at $4,473, marking a decline of 5%.
According to independent market analyst ‘Rekt Capital’, Ether needs to close the week above its previous all-time high of $4,460 if it hopes to keep its positive momentum going.
$ETH made a new All Time High this week
All ETH needs to do to continue this positive momentum is Weekly Close above it previous ATH (blue)
— Rekt Capital (@rektcapital) November 4, 2021
High flying altcoins take a beating
The pullback in BTC and Ether has hit the altcoin market hard and pushed a majority of the tokens in the top 200 into the red.
Some of the hardest-hit tokens are the projects that have seen some of the biggest gains in recent weeks, including a 17.22% decrease in the price of Shiba Inu (SHIB) and a 38% pullback in the price of OriginTrail (TRAC), which recently spiked to a new record high after being listed on Coinbase.
There are, however, a few bright spots in the market amid today’s sea of red. The AI-powered delegated proof-of-stake protocol Velas (VLX) has seen its token gain 30.4% on the day and now trades at $0.4341, while Chromia (CHR) has gained 26.47% and Amp has seen its price increase by 20.53%.
The overall cryptocurrency market cap now stands at $2.686 trillion and Bitcoin’s dominance rate is 43%.
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