Bitcoin has fallen below $20,000 for the first time since December 2020 as more crypto-businesses close down.
Bitcoin and Ether dropped for 12 consecutive days.
Low appetite for risky assets and new bad crypto news flow has led to traders being cautious about buying Bitcoin at these lows.
The Federal Reserve raised its interest rates, which is a sign that they are tough on inflation. This has caused Bitcoin to fall more than 70% off of its November high.
The crypto market is now showing signs of distress as more people are selling. One example was the collapse of Tera and the recent decision by Celsius Network to halt withdrawals. This has put pressure on long-term holders who have avoided selling until now, according to Glassnode.
Bloomberg analysts said that Bitcoin may find key support around $20,000, the same level of previous selloffs.
Bitcoin may continue its trend of stabilizing following a rise in price, a pattern that has occurred in previous bubbles.
Bitcoin cost $69,000 in December 2021, now over the last 3 months it has decreased to $900 billion.
Feelings about the crypto market are mixed, as it’s impossible to know what will happen. Recently we’ve seen how important risk management can be as events can happen that we can never predict.
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