The crypto market lastly succumbed to stress as buyers contemplated the Federal Reserve’s decision to go away rates of interest unchanged for September whereas trying ahead to a tighter financial grip over the approaching months. Bitcoin worth slid under $27,000 assist following a rejection from $27,200.
Attempts to regain management over the $27,000 went down the drain with losses presently stretching to $26,600. Down 0.5% within the final 24 hours, Bitcoin price is buying and selling at $26,606. News that fallen alternate Mt. Gox would delay payouts helped to manage the coin’s draw back amid speculations of one other sweep on the $25,000 main assist.
Bitcoin Price Correlation With US Dollar Index Hits New Milestone
According to the on-chain analytics platform IntoTheBlock (ITB), the correlation between Bitcoin price and the US Dollar Index has hit a brand new milestone – zero, which can suggest that the strongest foreign money on this planet has no impression on BTC.
Furthermore, “there is currently almost no correlation with any of the major indices,” ITB stated through X. As Bitcoin tries to form the development towards the halving in 2024, the query is, is that this lack of correlation a bullish or bearish sign?
Has Bitcoin Price Bottomed?
Mixed sentiments amongst buyers query whether or not BTC has bottomed or will it must retrace additional earlier than aligning the uptrend for the following bull market tied to the miner reward halving in April 2024.
Based on the short-term outlook, additional declines are possible earlier than the following important leap to the outstanding hurdle at $31,000. The vendor congestion at $27,000 means that though the market construction improved in September, the uptrend lacked the momentum to be sustainable.
If ~$31000 was the Top for 2023…
Then the following time we see these costs will probably be months from now, simply after the Halving (crimson field)
Only distinction between every now and then?
In this Pre-Halving interval, $BTC might nonetheless retrace from right here
But after the Halving, BTC would… pic.twitter.com/jz8rzGjGkz
— Rekt Capital (@rektcapital) September 21, 2023
The 200-day Exponential Moving Average (EMA) (purple) stands in the best way of positive aspects hoping to make it above $27,000. If this downward stress on Bitcoin continues, the rapid assist by the 100-day EMA (blue) may budge and let BTC freefall to $26,000, or to $25,000 if push involves shove.
The Moving Average Convergence Divergence (MACD) reveals {that a} sell-off from the present worth degree is the almost definitely end result. More merchants might quickly be prepared to quick Bitcoin, particularly with the blue MACD line staying under the crimson sign line.
The Relative Strength Index (RSI) in the identical quick time-frame, upholds the bearish outlook. Watching BTC’s response to key ranges at $27,000, the 200-day EMA, the 100-day EMA, and the assist space at $26,000 and $27,000 could be instrumental in foretelling the place Bitcoin is headed.
Crypto dealer and analyst, @rektcapital instructed through X that primarily based on the 2018 bear market backside, Bitcoin worth is but to backside. He opined that earlier than the earlier bull run in 2021, Bitcoin revisited a macro larger low in March 2020.
If historical past is to repeat itself, “the 2022 Bear Market Bottom has also very similarly formed a Macro Higher Low that could be revisited in the future.”
The 2018 Bear Market Bottom shaped a Macro Higher Low that was then revisited in March 2020
The 2022 Bear Market Bottom has additionally very equally shaped a Macro Higher Low that may very well be revisited sooner or later$BTC #Crypto #Bitcoin pic.twitter.com/NfyA0uWJp4
— Rekt Capital (@rektcapital) September 22, 2023
The current Bitcoin price doldrums may drive Bitcoin worth to shutter assist at $25,000 for an additional sweep at $20,000 earlier than the development into the 2024/2025 bull market begins to construct.
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