Bitcoin turned bearish on Tuesday, depreciating more than $4,500 in just a few hours. The decline brought BTC back to the $60,000 price level, breaking through the support level of $64,000. As almost all major altcoins turned bearish, prices fell across the board.
Well-known analysts and Youku anchor Rack Davis called the price change just a normal correction in the Bitcoin bull market and advised his audience not to panic. He points to early instances of Bitcoin prices falling in a bull market to support his view. Davis stated that BTC’s historical high of $68,789 is not the peak of this bull market, and said that the average price of Bitcoin in the bull market has fallen by 20%, representing a buying opportunity.
Data from CoinmarketCap It shows that the transaction volume of Bitcoin has surged by 68.02%, while the market value of the token has dropped by 7.14%. Bitcoin’s current market value is 1.14 trillion U.S. dollars, and the dominance of the world’s largest cryptocurrency has dropped slightly to 41.3%.
Tuesday Bitcoin crash Signed by President Joe Biden Infrastructure Act, Which will increase regulatory pressure on the crypto market. The bill aims to strengthen legal restrictions on the crypto market and digital asset service providers by defining the term “broker”. It also requires cryptocurrency exchanges to strengthen the supervision of transactions by collecting social security and other detailed information of those involved in the transaction.
The crash triggered a discussion on Twitter, an analyst Comment “Blockchain data shows that today’s price plunge is partly due to long-term holders taking profits, which usually happens after Bitcoin hits all-time highs.”
The stock market has also been hit by bears. Analyst Patrick Seeking commented on the decline in the cryptocurrency and stock markets. “Cryptocurrencies are again trying to make a decision between a pullback or a full-scale crash, and the stock index is not yet at a critical level again,” the analyst said in a tweet.
Bitcoin has experienced troublesome years, hitting a record high and becoming the legal tender of El Salvador
Photo: AFP/Oyama Takase
