Crypto ZX Channel has recently conducted a detailed examination of Kaspa (KAS) in light of a minor decline in Bitcoin’s value, as seen in their (https://youtu.be/2KjxDW73zxQ?si=-kVOEtaEBjZ-I7hf). The presenter discusses how Kaspa’s market performance is closely linked to the fluctuations of Bitcoin, emphasizing the significance of the current market correction and its wider effects.
The cryptocurrency market has seen a slight pullback, largely attributed to a small decrease in Bitcoin’s price. This market correction is considered a typical response following a period of bullish trends. The presenter points out that Bitcoin continues to hold a dominance index of around 55.62%, indicating its substantial impact on the overall cryptocurrency market.
At present, Bitcoin’s value hovers around key support levels, which align with the peak prices from October 2021. There is speculation that Bitcoin may revisit the $64,000 support level, influenced by general market sentiment and significant transactions by large-scale investors.
Kaspa (KAS) Price Analysis
During the analysis, Kaspa’s price was recorded at 17.3 cents, boasting a market capitalization of $4.2 billion and a daily trading volume of $42.1 million. However, at the time of writing, KAS is trading at $0.177 with a daily trading volume of $35.21M, marking a 2.03% increase over the last 24 hours. Despite this recent uptick, it has experienced a 0.79% decline over the past week.
Kaspa has encountered resistance at the 23.6% Fibonacci retracement level. The analysis identifies the next critical support levels at 16.8 cents and 16.3 cents. A significant support line was tested at 17.1 cents, reflecting a 5.75% decrease from recent highs.
“The next major support levels for Kaspa are identified at 16.8 cents and 16.3 cents. A significant support line was also tested at 17.1 cents, showing a 5.75% dip from recent highs,” explained the presenter.
Market Sentiment and Future Outlook
The price trajectory of Kaspa is heavily influenced by Bitcoin’s market activity. A downturn in Bitcoin’s price could result in significant declines for Kaspa. With limited listings on exchanges, Kaspa is more prone to price manipulation, leaving it susceptible to the influence of large investors or ‘whales’.
“Kaspa is susceptible to manipulation due to its limited exchange listings, making it vulnerable to whale activities,” highlighted the host.
The analysis suggests that while Kaspa shows potential for growth, investors should be mindful of its correlation with Bitcoin’s performance and the possibility of market manipulation due to its relatively smaller presence on exchanges.”
Source: captainaltcoin.com