Bitcoin Loses Major Support Level, Could Drop to $54k
The fall of Bitcoin for a week was due to economic and financial events. In the past week, CoinMarketCap data indicates that the leading cryptocurrency was around $60,000, down by 11.17%. However, CryptosQuant analyst abramchat expects even more losses in the next few days, even though crypto enthusiasts pray for stability.
No Recovery on Bitcoin Price?
In his CryptoQuant Quicktake article abramchat noted that Bitcoin lost its short-term support nearby 64,580 USD average price at which buyers bought it out over six months due to market’s decline. Such trend suggests that plain Jane investor would like selling pressure to be restricted unless he wants to limit or avoid further loses.
Abramchat attributes this latest price drop of bitcoin to economic and political developments that have affected various financial sectors including stock markets which lost ground significantly on Thursday and Friday.
The reduction in the value of bitcoin might have been because Genesis bankrupted in January 2023 hence finally paying off creditors; on Friday it sent out ethereum as well as bitcoins worth 1.5 billion dollars aimed at reducing debts worth four billion dollars.
If Bitcoin fails to recover $64,580 then abramchart predicts further slump towards $53k-54k. This is what happened after the great German government sell-off in early July; prices dropped so low.
Furthermore, abramchart advises against purchasing altcoins without cautioning investors about this market “negativity” as other currencies may suffer too apart from just Bitcoin.
BTC Price Summary
Now at $60,597 after yesterday’s loss of 1.20%. Since mid-July BTC has fallen below the level of $60K on Saturday for the first time ever.
Accordingly its daily trading volume dropped 24.45% indicating low interest due to decreased buying and selling activities. With its market capitalization of $1.19 trillion, Bitcoin is the largest digital currency and ranks 9th among global financial assets.
