Bitcoin fell below $ 38,000 for the first time in 6 months Crypto news


Regulators in the United Kingdom, Spain and Singapore this week proposed tightening rules to promote cryptocurrencies for inexperienced investors, while Russia’s central bank proposed a total ban on cryptocurrencies.

from Bloomberg

Bitcoin fell in a prolonged sell-off of cryptocurrencies, falling above $ 38,000 to its lowest level in six months.

The biggest token sank 8.7% on Friday, marking a three-day decline. More than 236,000 traders have closed their positions in the last 24 hours, with liquidations totaling $ 867 million, according to Coinglass, a trading platform and information on cryptocurrency futures.

Other cryptocurrencies were also in the red as investors unloaded risky bets in a volatile week for global markets. Ether fell below $ 3,000, losing 11%, while Solana, Cardano and Binance Coin also fell.

Bitcoin had a difficult start to the year, with prices falling more than 40 percent from a peak in early November. Digital assets have suffered particularly in recent days due to wider technology sell-offs, growing regulatory threats and concerns about tightening US monetary policy.

Regulators in the United Kingdom, Spain and Singapore this week proposed tightening rules on the promotion of cryptocurrencies for inexperienced investors, while Russia’s central bank on Thursday proposed a total ban on cryptocurrencies.

Bitcoin graphics

“Rumors of Russian mining bans, the effects of program cuts and current regulatory issues in some jurisdictions currently carry more weight in trade and investment decisions than major long-term fundamentals,” said Jason Dean, an analyst at the research firm. digital assets Quantum. economy.

“At the same time, the increased use and acceptance of bitcoin in high-inflation economies is creating a confusing market picture, leading to a lack of decisive direction and momentum anyway,” he added.

Dean predicts “volatile trade without direction” in the short term with an additional weakness that is yet to come.

A technical model based on a momentum indicator known as the weekly relative strength index hinted at the possibility that the collapse of bitcoin could be due to dormancy. The indicator on Friday fell in a region that in the past accompanied the levels of bitcoin sales.

“Bitcoin and the wider crypto market remain the whims of macro variables,” Fundstrat Digital Asset Research strategists Sean Farrell and Will McEvoy wrote in a note.





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