Bitcoin (BTC) abandoned several support levels in the past weeks, and failed to rally to new support. Just as longs interest was piling up, BTC dipped under $7,000, causing liquidations.
BTC slid to $6,927.16, with volumes accelerating to above $20 billion’s equivalent in 24 hours. The move downward was expected, and happened hours after BTC managed to hold above $7,100. Only hours later, the entire market slid into the red, with altcoins reaching lower valuations.
The price slide happened within minutes soon after US markets opened. BTC also completed a pattern of appreciating slightly over the weekend, and crashing at the start of the new week.
BTC is now seen as continuing on a downward trend, with a possible reversal closer to the halving of the block reward. Lows are predicted close to $5,000, though short-term fluctuations may lead the price for short-term rallies.
https://twitter.com/goldlamp5/status/1206649265197584384
BTC is now about two years from its all-time peak above $19,600. If the current trend continues, BTC may return closer to the lows for 2019, and continue on its bearish trend.
https://twitter.com/CryptoBullet1/status/1206611067348168705
But the slide in BTC is also smaller in comparison to the altcoin crash. The recent sell-off increased the BTC dominance to 67.1%, as leading altcoins slid toward yearly lows. And despite the slide, BTC trading remains active, and the Bakkt exchange boosts its open interest and volumes even during a falling market.
https://twitter.com/BakktBot/status/1206837332130893824
BTC has now entered a stage where long-term whales keep holding for the long-term, expecting significant developments over the years. But trading pushes BTC in both directions, with bulls and bears fighting out multiple support levels.
The share of Tether (USDT) has also fallen toward 67%, as futures markets take more of the BTC volumes. USDT activity is also close to its baseline, with each coin moving through the ecosystem about five times per day.
BTC remains unpredictable as it is yet to wrap up a rather volatile year, with prices ranging from lows near $5,000 to a peak above $13,800.
