#Bitcoin falls below support level#
Hot Topic Overview
Overview
Bitcoin is currently at risk of losing a key support zone, as its price has fallen below the support area between $90,000 and $93,000. This is largely due to the decline in risk assets, with the dollar index and US Treasury yields rising after the release of the non-farm payrolls report on Friday. Additionally, some investment banks believe that the Fed's rate-cutting cycle is over, with Bank of America even hinting at a possible rate hike, further adding pressure to Bitcoin. Although Michael Saylor said that MicroStrategy may buy Bitcoin again, market sentiment remains negative, with some observers believing that Bitcoin could fall to $70,000. Meanwhile, the 30-day moving average of the Coinbase-Binance BTC price difference has fallen to its lowest level since at least 2019, indicating weakening domestic demand in the United States.
Ace Hot Topic Analysis
Analysis
Bitcoin recently broke through its support levels, primarily driven by a broader decline in risk assets, accompanied by a surge in the US Dollar Index and US Treasury yields. The release of the Non-Farm Payrolls report further intensified this trend, prompting investors to offload risk assets, resulting in a 2% drop in Bitcoin's price, pushing it below the crucial support zones of $90,000 and $93,000. Furthermore, several investment banks believe the Fed's rate-cutting cycle has concluded, with Bank of America even hinting at the possibility of a rate hike, further amplifying the bearish sentiment towards Bitcoin. Some observers believe Bitcoin's price could dip to $70,000 before potentially rebounding. Concurrently, the 30-day moving average of the Coinbase-Binance BTC price difference has fallen to its lowest level since at least 2019, indicating waning domestic demand in the US. Nevertheless, Michael Saylor, the founder of MicroStrategy, has indicated a potential for further Bitcoin purchases, which could influence market sentiment to some extent. Overall, Bitcoin is currently facing significant downward pressure, prompting investors to closely monitor market dynamics and proceed with caution.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
Bitcoin faces risk of losing key support levels as traders sell risk assets.
The dollar index and US Treasury yields rose, putting pressure on bitcoin.
Some investment banks believe the Fed's rate cut cycle is over, with Bank of America hinting at a potential rate hike, which has heightened the risk of a bitcoin decline.
Consensus is that Bitcoin price will dip to $70,000 before climbing again.