Cryptocurrency market weakens: FARTCOIN, VIRTUAL and TIA fall sharply amid a wave of 1 billion USD liquidation.

Fartcoin (FARTCOIN), Virtuals Protocol (VIRTUAL) and Celestia (TIA) have all plummeted with double-digit falls in the past 24 hours, as the crypto market witnessed over 1 billion USD being wiped out from the order book due to liquidation activities. The cause stems from the surprising 0.9% increase in the Producer Price Index (PPI) for America in July compared to the previous month — the highest level since March 2022, and far exceeding analysts' forecasts.

On a technical level, the market trend remains in a state of "uncertainty." The probability of the Federal Reserve of America (Fed) lowering interest rates in September has surged to 94%, while President Donald Trump has called for a reduction of up to 300 basis points — a move that could become a strong "boost" for real estate, stocks, and even the crypto market.

FARTCOIN holds above the 200-day EMA as downside risk remains present

Fartcoin recorded a slight increase of 2% on Friday, following a sharp drop of 12.36% in the previous session. On the technical frame, the Solana-based meme coin remains above the (EMA) 200-day moving average at 0.9656 USD, but still struggles against the Fibonacci resistance level of 61.8% at 1.0055 USD — calculated from the peak of 2.7400 USD on January 19 to the bottom of 0.1986 USD on March 10.

If the price can firmly close above this level, Fartcoin is likely to enter a recovery phase, aiming to challenge the 50-day EMA line at 1.1266 USD. However, the 50-day EMA is currently sloping down and is at risk of forming a "death cross" ( with the 100-day EMA — a sign that short-term momentum is weak compared to the long-term trend.

![])https://img-cdn.gateio.im/webp-social/moments-bff66bf11c87e72695300b69d2023336.webp(Daily FARTCOIN/USDT Volatility | Source: TradingViewThe MACD indicator is giving mixed signals as the MACD line and the signal line converge but are almost horizontal, while the RSI is at 45 — close to neutral and gradually moving up towards 50.

In a negative scenario, if Fartcoin breaks through the 200-day EMA at 0.9656 USD, the price could plummet to the 50% Fibonacci retracement level at 0.7378 USD.

VIRTUAL faces the risk of a deep fall as the risk of "death cross" increases

Virtuals Protocol continues to trade below the 200-day EMA after a drop of more than 13% on Thursday. Although VIRTUAL has recovered about 2% at the time of writing on Friday, both the 50-day EMA and the 200-day EMA are nearing a "death cross" — a sell signal that previously caused the price to plummet nearly 40% in March.

The scenario assessed to have a high probability is that the price will retest the support area of 1.12 USD. If the candle closes decisively below this mark, selling pressure could push VIRTUAL back deeper towards the psychological threshold of 1.00 USD.

![])https://img-cdn.gateio.im/webp-social/moments-7039d5af8da2c482b4fb6ef0c4b94368.webp(Daily VIRTUAL/USDT fluctuations | Source: TradingViewTechnical indicators are also leaning towards a bearish trend: RSI has slid down to 39, nearing the oversold zone; while MACD is preparing to cross below the signal line — a sign that the downward momentum may return.

On the contrary, to restore the upward trend, VIRTUAL needs to break through the 200-day EMA at 1.45 USD, thereby reinforcing the confidence of the bulls.

) TIA may test the support area of 1,310 USD

Celestia ###TIA( increased by nearly 2% at the time of writing on Friday, following a fall of nearly 13% the day before and forming a "bearish engulfing" candle pattern ). Nevertheless, the price remains stable above the support level of 1,685 USD, coinciding with the peak on June 24.

If this threshold is breached, TIA may continue to fall back to the deeper support zone at 1,310 USD — the low recorded on June 22.

Daily TIA/USDT Volatility | Source: TradingViewOn the technical chart, the MACD line and the signal line of the MACD indicator are approaching each other, indicating the risk of a sell signal. However, the RSI reading of 48 remains in the neutral zone, maintaining the potential for a reversal.

In a bullish scenario, TIA needs to invalidate the "bearish engulfing" pattern with a decisive candle close above the 100-day EMA at 2,072 USD. At that point, the uptrend could extend towards the 50% Fibonacci retracement level at 2,356 USD.

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