Bitcoin (BTC) price plunged to new lows on November 18, and a short visit to the $56,000 level led to a strong sell-off of Ether (ETH) and altcoins.

Data from Cointelegraph Markets Pro and TradingView shows that the $60,000 support was broken early in the US trading session, allowing the bears to dominate the market for a short time.

4 hour BTC/USDT chart. Source: TradingView
Here’s what analysts have to say about today’s price action and whether traders should worry about more downside.

Big discount ‘will be relatively short-lived’
According to a recent report by cryptocurrency research firm Delphi Digital, “the first selloff was largely driven by a wave of liquidation rather than a fundamental shift in storytelling,” suggesting that this conclusion may be short-lived and likely. … “provides an attractive entry point” for traders looking to gain more positions in the market.

Short term technical forecast for bitcoin/usd. Source: Delphi Digital
Delphi Digital emphasized that while there was a significant amount of inter-market lending in the past week, it did not help prevent an overall rise in “total liquidations on major exchanges, coinciding with each significant price drop.”

As for what comes next for BTC, Delphi Digital sees the potential for a drop to $55,000 “if continued selling pressure forces BTC below $57,750,” but the analysts also noted that any “downgrade would be relatively short-lived.”

Delphi Digital SA:

“If BTC falls again, it could create a more attractive entry for those who have long-term convictions and want to go higher.”
The company also expressed similar sentiments about the price action of Ethereum, which briefly fell below $4,000 earlier on November 18. Delphi Digital highlighted the fact that Ether is trying to turn the long-term resistance level that fell in May into support, indicating that if successful, ETH “looks poised to continue the upward trend.”

Significant support and resistance levels for the ether. Source: Delphi Digital
Delphi Digital SA:

“If price support does start, the hope of the bulls will shift towards a possible retest and bounce off the upper trendline set from the May 2021 high to the September 2021 high.”
Long-term holders can rest assured
Further analysis of the bitcoin price was provided by options trader and Twitter analyst under the pseudonym “John Wick,” who posted the following tweet highlighting the fact that even seasoned traders are concerned about the price change on November 18.

The drop in price has seriously challenged the bottom line of the current support zone, as “the odds start to pile up against the bearer”, as Wake notes, is really only a problem for short-term traders, and in the long-term, stock holders should not worry too much about This kind of price measurement. …

On the topic: Bitcoin slumped to a monthly low after a 6% drop drove the price of BTC down to $56.6K.

Ether still has a bull market structure
On ether, market analyst and Twitter user Pentoshi has published the following chart highlighting the breakout in the previous ascending channel and retesting the support and resistance levels found in its previous records.

ETH/USD 1 day chart. Source: Twitter
While some market traders saw this as an ominous turnaround, Bentoshi sees the move as positive as it is “one of the things in the market that still has a bullish market structure.”

However, Bentucci came up with some words of caution and said:

“What you don’t want to see is that he eventually came back under these automatic phone exchanges.”
The total market capitalization of the cryptocurrency is now $2.508 trillion, and the bitcoin dominance rate is 43.4%.

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