Why bitcoin is falling - 4 reasons and prediction
Bitcoin has lost the $60,000 level. Against the background of the fall of the most capitalized cryptocurrency
We tell you why bitcoin is falling and what reasons make many participants of the crypto community believe in the growth of BTC in the fall of 2024.
What's happening to bitcoin
Bitcoin ended Tuesday, August 27 with a fall. The cryptocurrency failed to hold the $60,000 level. At the time of writing this review, bitcoin is trading at $59,262, nearly 20% below the all-time high of $73,750 recorded on March 14, 2024.
Bitcoin made two attempts to storm $65,000 before dipping under $60,000.
Amid the cryptocurrency's fall, the Fear and Greed Index went into the red zone, indicating market participants' uncertainty about the coin's growth prospects in the near future.
Why bitcoin is falling
There is no single answer to the question “why bitcoin fell”. The cryptocurrency fell under $60,000 amid a confluence of a number of circumstances. Let's consider the reasons for the fall of bitcoin. Formally, they can be divided into four groups.
1. Macroeconomic pressure
2. Decline in bitcoin network activity
3. technical and market factors
4. general market sentiment
Is there a chance for growth to resume
Many crypto investors believe that bitcoin will resume growth in September 2024. The authors of some forecasts are confident that BTC will be able to overcome the psychologically important level of $100,000 in early fall.
Among the positive factors of cryptans highlight the completion of the prison term of Binance founder Changpeng Zhao, payments to FTX, the exit from the pressure of Mt. Gox, the probable reduction of the Fed rate, as well as the presumed victory of the supporter of the crypto Donald Trump in the U.S. presidential election 2024.
there are those who are waiting for BTC to continue falling. For example, popular crypto blogger and entrepreneur Karl Runefelt believes that investors may see bitcoin below $50,000 in SEP