Bitcoin has hit a new low in the current bear market. According to data from CoinMarketCap, BTC fell below $20,000 on Saturday morning. The 20,000 USD is a threshold that has been regarded as a crucial support level for the cryptocurrency with the highest market capitalization. Currently, the live Битцоин цена is $19,057.34, with a 24-hour trading volume of 28,262,779,835 USD. In the last 24 hours, Bitcoin has lost 9.67%.
Bitcoin falls to its 2017 all-time high
Bitcoin has hit a new low since December 2020, falling below $20,000 for the first time. As the crypto market’s anxiety deepens amid tighter money conditions, more evidence of strain within the industry emerges. According to reports from Bloomberg, the largest cryptocurrency by market value has dropped for 12 days in a row.
Surging recession fears are crippling appetite for risky assets, and that has crypto traders remaining cautious about buying Bitcoin at these lows. The news flow has been terrible for cryptos.
Edward Moya, senior market analyst at Oanda.
The crypto world is about to get a lot worse. Although BTC’s $20,000 milestone is primarily symbolic, experts predict that a fall beneath this level might lead to a “wave of forced liquidations.”
Extreme volatility and a lack of liquidity in the Bitcoin market have made it increasingly difficult for large-scale crypto investors to continue holding onto their holdings. As a result, they’ll be forced to close positions on BTC derivatives products because they don’t have enough collateral. Such occurrences would certainly only add to Bitcoin’s price decline, triggering more liquidations.
On June 15, the Federal Reserve increased its benchmark lending rate by three-quarters of a percentage point, making it the biggest hike since 1994. In addition, central bankers signaled that they would continue to raise rates aggressively this year in an effort to control inflation. A higher-rate environment has been harmful to riskier assets like Bitcoin, which has seen a drop of more than 70% from last year November.
У време штампе, Ethereum‘s support level of $1,000 has also evaporated, putting the cryptocurrency sector on even more dangerous ground. The current live Етхереум прице is USD 991.64, according to CoinMarketCap data, with a trading volume of USD 13,621,714,966 over the past 24 hours. Ethereum is down 9.67% in the last 24 hours.
According to Arthur Hayes, former CEO of BitMEX, $20,000 and $1,000 represent price levels for BTC and ETH, respectively, that would cause “significant sell pressure” if they are exceeded. The market capitalization of all cryptocurrencies has dropped by around 5% in the last 24 hours.