Bitcoin’s recent rise to nearly $65,000 quickly reversed, with the cryptocurrency now trading below $61,000.
This decline has rippled through the broader market, exacerbated by the arrest of Telegram CEO Pavel Durov in France, which triggered a sharp price drop for Toncoin (TON).
Alongside Bitcoin, several altcoins, including Ethereum (ETH), Solana (SOL), XRP, and Cardano (ADA), have seen significant downward pressure.
As these assets struggle, the focus turns to the price outlook for other tokens like Flare (FLR), Gala (GALA), and Sui (SUI).
Bitcoin sees huge negative exchange netflows
According to CryptoQuant analyst Heisenberg, the Bitcoin network has seen massive negative exchange netflows amid the latest price decline.
Per the analyst, such large negative net flows have often coincided with a bullish flip in sentiment. Mostly, this is down to investors taking their BTC off exchanges for holding.
Bitcoin price flipped positive the last time exchanges recorded a huge negative netflow of BTC. For instance, prices rose from near $55k to above $68k in July following this metric and previously from near $67k to above $70k.
Flare hovers near the key support level
The native token of data-focused Layer 1 blockchain Flare has retreated 18% in the past month.
FLR’s value hit $0.02 at the end of July, but the L1 token currently trades near $0.015. This is a key level for Flare’s price, below which support could lie around August 5 lows of $0.014. On the upside, has a robust resistance zone around $0.017.
A look at the price charts, the daily timeframe has the FLR token below the 50-day simple moving average. The daily relative strength index and moving average convergence divergence indicators point to an overall weakness.
FLR/USD on the daily chart. Source: TradingView
The weekly chart also has the RSI near oversold territory with a reading of 33.44 at the time of writing.
Bears have also helped the Stochastic Momentum Index in oversold territory. With prices at current levels, it’s likely bulls will mirror the broader market rebound to eye new upside momentum.
FLR/USD on the weekly chart. Source: TradingView
Flare market presence
Despite price weakness, Flare continues to gain traction in the market. That includes its latest integration with Polyhedra’s zkBridge to leverage zero-knowledge proofs and LayerZero’s technology.
Allowing developers to tap into ZK proofs to create and deploy interoperable applications is a trajectory that could see FLR recover amid the related market’s bounce.
The markets include decentralized finance (DeFi), real-world assets (RWA), and social networks. Per DeFiLlama, Flare’s total value locked (TVL) has jumped from around $15 million on August 5 to over $27.7 million.
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