The price of Bitcoin, the world’s leading cryptocurrency, has fallen below the critical $ 36,000 support level amid global regulatory crackdowns and environmental issues.
Cryptocurrencies fell more than 5% on Saturday to $ 35,697 per coin. Its value has almost halved from April’s record peak of about $ 65,000 in tokens. Traders are forecasting $ 32,500 as their next stop before revisiting the $ 30,000 low.
Bitcoin’s downturn occurs when the traditional market faces another day of downward pressure in a comment from the Federal Reserve Board about the possibility of raising interest rates faster than expected. Tighter regulations on Chinese cryptocurrencies are also putting pressure on prices.
According to analysts, the continuous price decline is the so-called “desk loss” that occurs when the 50-day moving average falls below the 200-day moving average. This event shows the potential for a major sale. If that happens, Bitcoin could enter the bear market territory, similar to what happened in 2018.
Bitcoin’s previous desk loss resulted in an additional price drop of 70% in 2018 and 47% in 2019. The 2020 desk loss occurred shortly after the market collapse due to the Covid pandemic in March.
Stephen Kelso, market manager for brokerage firm ITI Capital, told CoinDesk, “Speculative reports show that Bitcoin could soon fall to $ 20,000, with an average of 50 and 200 moving averages per day. It shows that a bearish cross is imminent. “
“The crypto market is currently processing a series of news that fuels the bare case of price development,” said Ulrik Lykke, executive director of the crypto hedge fund ARK36 quoted by CNBC.
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Bitcoin falls below $ 36k in imminent death cross concerns
Source link Bitcoin falls below $ 36k in imminent death cross concerns