Bitcoin and the broader cryptocurrency market came crashing down soon as the Israel-Iran escalated on Tuesday, marking a bearish beginning to BTC’s best month historically. The Bitcoin price is down 3.16% to $61,715 levels while the altcoins led by Ethereum have plummeted anywhere between 5-10%.
CryptoGames
Bitcoin Price and Altcoins Face Huge Selling Pressure
After one of the best-performing September in a decade, Bitcoin and altcoins have come under selling pressure as the bulls fail to sustain the Bitcoin price above $65,000. The selling pressure further escalated on Tuesday as Iran fired 200 ballistic missiles on Israel while escalating the war between the two nations.
Bitcoin holds the track record of 20% gains in October, however, it’s down by 4% in the first two days. Sean McNulty, director of trading at liquidity provider Arbelos Markets stated that this is a “momentary setback”. He added that “The seasonal trend of October being the best month for Bitcoin is alive and well”.
The markets will continue to remain on high alert as Israeli Prime Minister Benjamin Netanyahu has vowed to retaliate against the recent Iran strikes. On Tuesday, the Bitcoin ETF outflows also surged to $242 million breaking the eight consecutive days of inflows. Some market analysts believe that Bitcoin’s all-time high ain’t coming anytime soon at least until mid-November. Additionally, the weakness in the US PMI data highlights the shrinking economy putting additional selling pressure.
Popular crypto analyst Benjamin Cowen stated that following the Fed rate cuts in 2019, the Bitcoin price rallied for two weeks only to drop to the 100W SMA 2 months later. If the cryptocurrency repeats this pattern, the correction could extend to $50,000 levels by mid-November, as per the below chart shared by Cowen.
