Bitcoin

CryptoQuant warns that Bitcoin could drop to $40,000 amid recent volatility. The critical support level is at $47,140, with 900,000 addresses holding 489,000 BTC. In the last 24 hours, $1.06 billion has been wiped out, with bullish investors losing $900 million.The recent panic selling in Bitcoin and the broader crypto market has been influenced by the Bank of Japan’s decision to raise interest rates from 0% to 0.25%, along with growing fears of a U.S. recession. Bitcoin’s price fell to $49,112 but has since recovered slightly to $52,982, marking a nearly 16% drop.<img src="https://academy-public.coinmarketcap.com/optimized-uploads/72cd9cf07af24e0a9ec6b0aba445817c.png" /><h3 id="bitcoin-faces-major-decline-potential-drop-to-40-000">Bitcoin Faces Major Decline, Potential Drop to $40,000</h3>Bitcoin (BTC) has experienced a dramatic fall, dropping over 16% in the last 24 hours and breaking below the crucial $57,000 support level. This sudden decline has raised alarms in the <a href="https://cryptosheadlines.com/crypto-community-reacts-to-bitcoins-plunge-below-27k/" rel="noopener noreferrer nofollow">crypto community</a>, with experts now predicting a potential drop to $40,000.According to leading <a href="https://cryptosheadlines.com/ethereum-holders-increasingly-transferring-coins-to-centralized-exchanges-on-chain-data-reveals/" rel="noopener noreferrer nofollow">on-chain data</a> and analytics provider CryptoQuant, this breach of support signals a troubling trend. The recent drop has pushed traders into their most negative unrealized profit margins since November 2022.<img src="https://academy-public.coinmarketcap.com/optimized-uploads/7297bca2a6f94193997a2d2cf6822b9a.png" />Source: <a href="https://x.com/cryptoquant_com/status/1820359383085109514?ref_src&#61;twsrc%5Etfw" rel="noopener noreferrer nofollow">X</a>CryptoQuant’s data suggests that this recent price action could lead to further declines, making it a critical period for Bitcoin holders and traders alike.The recent <a href="https://cryptosheadlines.com/cz-imprisonment-sparks-crypto-market-crash-analysts-combat-fud/" rel="noopener noreferrer nofollow">crash in the crypto market</a> caused over $1.06 billion to be wiped out in the last 24 hours, as per a Coinglass report. Of this, $900 million was lost by investors who thought prices would rise, and $160 million was lost by those who expected prices to fall.<img src="https://academy-public.coinmarketcap.com/optimized-uploads/72cd9cf07af24e0a9ec6b0aba445817c.png" /><h3 id="key-support-level-at-47-140-crucial-for-bitcoin-s-stability">Key Support Level at $47,140 Crucial for Bitcoin’s Stability</h3>Echoing a similar bearish stance, popular crypto chart analyst Ali Martinez highlights a crucial support level for Bitcoin around $47,140. This level is important because nearly 900,000 addresses purchased a total of 489,000 BTC at this price.<img src="https://academy-public.coinmarketcap.com/optimized-uploads/711a0620d986435f8df22e72e5bbab6f.png" />Source: <a href="https://x.com/ali_charts/status/1820342446296887578?ref_src&#61;twsrc%5Etfw" rel="noopener noreferrer nofollow">X</a><a href="https://cryptosheadlines.com/wealth-advisor-sees-potential-in-xrp-amid-market-trends/" rel="noopener noreferrer nofollow">Also Read: Wealth Advisor Sees Potential in XRP Amid Market Trends</a>This concentration of holdings makes $47,140 a key support area where many investors have significant positions. If Bitcoin manages to stay above this level, it could indicate resilience and possibly set the stage for a price rebound.However, a break below this support could signal further declines, as it might lead to increased selling pressure from those who bought at this level.<img src="https://academy-public.coinmarketcap.com/optimized-uploads/04fcc8125e83414b9f8e9b3282b43c1d.png" />Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.Join Cryptos Headlines <a href="https://linktr.ee/cryptosheadlines.com" rel="noopener noreferrer nofollow">Community</a>Follow Cryptos Headlines on <a href="https://news.google.com/publications/CAAqBwgKMLz3-wowvuzoAg" rel="noopener noreferrer nofollow">Google News</a>

CryptoQuant Predicts Bitcoin Price Drop Below $40K

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