Bitcoin, XRP, Solana, Dogecoin: Riding December’s Wild Crypto Rollercoaster

Crypto’s December Gauntlet: Bulls Hold Their Ground, Bears Smell Blood

The crypto market's volatility has been on full display as altcoins experienced a steep decline on Tuesday. Bitcoin has remained relatively stable, showing resilience amid the turbulence. However, macroeconomic factors loom large over cryptocurrencies, including the strengthening U.S. Dollar Index (DXY) and the upcoming CPI report and FOMC interest rate decision.

Bitcoin (BTC): Crossroads and Key Levels

BTC faces a pivotal moment, balancing at a crossroads. Maintaining the $90K-$91K support zone is crucial, as a breakdown could trigger a cascading drop to the $79.5K-$83K Golden Pocket. Conversely, reclaiming the 50MA ($96K) and breaking above $99K would indicate a bullish trajectory.

Altcoins: Key Levels and Scenarios

• **XRP ($XRP):** XRP has rebounded to $2.38 after a 34.5% drop to $1.91. Holding the $1.91 support is essential, with a stop loss below $1.50 in place. A drop to $1.28-$1.29 remains a potential target if support is lost. Reclaiming $2.65+ is key for bulls to resume the uptrend.
• **Solana ($SOL):** Solana's resilience continues, with the Golden Pocket ($198-$200) holding as support. A break above $237 could lead to a retest of $264. Failure to hold above $198 could result in a drop to the $181-$182 re-buy zone.
• **Dogecoin ($DOGE):** DOGE remains volatile, but its key rectangle support ($0.37-$0.48) held its ground. A breakdown of this support could lead to a sharp drop to the $0.25 liquidity zone. Reclaiming $0.42 could reignite momentum toward $0.48 and $0.60.

Macroeconomic Factors and Market Outlook

The crypto market is closely tied to macroeconomic factors. The strength of the Dollar Index (DXY) and the upcomingCPI report and FOMC rate decision will influence the crypto market's trajectory. The market remains in limbo, and the next moves will be crucial. Bears are feeling optimistic, but bulls must demonstrate their strength to retain control.