Movement

Bitcoin

<h2 id="key-points">Key Points</h2> 
<ul> 
 <li>Bitcoin [BTC] experienced a significant decline, nearing a drop below $50k for the first time since February.</li> 
 <li>External macroeconomics, including a crash in Japan and Taiwan’s stock markets, have contributed to the crypto market’s downturn.</li> 
</ul>  
<p>Bitcoin’s value is nearing a decline below $50k, a value not seen since February of this year. This comes as global stock markets take a hit, particularly in Japan and Taiwan.</p> 
<h2 id="bitcoin-s-decline">Bitcoin’s Decline</h2> 
<p>The cryptocurrency market has seen a significant decrease in the last 24 hours, with Bitcoin [BTC] taking the hardest hit. Currently, BTC is trading at $50436, reflecting a 16.21% decline on daily charts and a 27% drop on weekly charts.</p> 
<p>This substantial decrease has led to speculation among traders and analysts regarding BTC’s future and the cause of this major price drop. After falling to $53k, investors with long positions of over $600 million were forced out, resulting in a $300B total decline in the crypto market.</p> 
<p>If BTC falls further to $50k, more than $6B long positions could be forced out. This price decline has increased bearish sentiment, with traders rushing to buy the dip. However, data suggests investors and traders are less interested in the dip.</p> 
<h2 id="external-factors-impacting-btc">External Factors Impacting BTC</h2> 
<p>Over the past week, global markets have faced a fear of recession following the Federal Reversal’s failure to cut rates. Rising U.S. debts have led to higher outflows from the crypto markets, particularly from ETFs due to market uncertainty.</p> 
<p>The Japanese market crash, which saw a drop of over 8% in 24 hours, has also impacted the crypto market. The plummeting global stock markets have pushed BTC down, with Japan’s stock market experiencing its biggest single-day drop.</p> 
<p>Taiwan’s stock market has also suffered its worst day in 57 years, adding to the fears of a recession in the U.S. economy.</p> 
<h2 id="price-chart-predictions">Price Chart Predictions</h2> 
<p>BTC has declined by 17% in the past 24 hours, continuing a month-long decline. Over the past 30 days, BTC has declined by 5%, resulting in a market cap drop below $1T to $990B.</p> 
<p>Analysis shows that BTC is experiencing a strong downward momentum. The Directional Movement Index (DMI) indicates a sustained downtrend, with the positive index at 26 sitting below the negative index at 29.</p> 
<p>Open Interest has also declined from $37B to $31B, indicating that leveraged positions are being forcefully closed. Increased liquidation for long positions suggests that holders lack confidence in BTC’s current direction.</p> 
<p>If the current market conditions persist and BTC closes below $50670 on daily charts, it could find its next support around $47779.</p>

Fear Strikes Crypto Market: Could Bitcoin Plummet to $40K?

Table of Contents

CoinEagle.com

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