Bitcoin Set for Drop Below $50K as Market Fear Intensifies, Says Arthur Haye
Th cryptocurrncy mrkt is xprincing significnt downturn, with invstor sntimnt sinking into xtrm fr. Bitcoin, th lding digitl sst, brifly droppd blow $56,000, lding to brodr mrkt downturn. Crypto nlyst Arthur Hys hs projctd furthr dclin, which could s Bitcoin fll blow $50,000 by th wknd.
Th Crypto Fr & Grd Indx, widly usd gug of mrkt sntimnt, currntly sits t criticl low of 22, indicting stt of xtrm fr. This mrks th lowst scor sinc rly August nd th first tim th indx hs ntrd this zon sinc mid-August.
Bitcoins pric hs followd this trnd, dcrsing by 2.7% in th pst 24 hours, hitting low of $55,838. This shrp fll hs rsd $29.7 billion in mrkt vlu, signling rpid dclin in invstor confidnc. Th losss xtndd to othr mjor cryptocurrncis, with Ethrum, Soln, nd XRP ll flling btwn 2% nd 3%.
This mrkt slump triggrd $94 million in liquidtions ovr th pst 24 hours. Trdrs who hd bt on Bitcoins pric rising wr prticulrly ffctd, with CoinGlss dt showing $71 million in long positions wipd out, including $36.71 million in Bitcoin long bts.
Hys, wll-known figur in th crypto spc nd formr BitMEX CEO, rmins pssimistic. H blivs Bitcoin will fll blow $50,000, rflcting th mrkts growing uns. This outlook is prtly drivn by concerns ovr th U.S. conomy, which is struggling with sluggish growth nd th potntil for n intrst rt hik by th Fdrl Rsrv.
Th ltst U.S. jobs rport, which missd xpcttions, hs ddd to ths frs. Th wkr-thn-xpctd figurs hv incrsd th liklihood of Fdrl Rsrv rt hik, which could furthr wigh Bitcoins pric. It was historiclly, rising intrst rts hv ngtivly impctd riskir ssts, including cryptocurrncis.
Bitcoin Technicals Signal Potential Bearish Trend
Mnwhil, tchnicl indictors r signling concrning outlook for Bitcoins futur. A Psudonymous trdr TopGcrypto hs idntifid brodning wdg pttrn on Bitcoins dily chrt. With xpnding rsistnc nd support lins, this pttrn usully indicts rising voltility. As th pric fluctuts within th wdg, th likelihood of shrp brkout in ithr dirction grows.
Currntly, BTC is tsting th wdgs lowr boundry, rising frs of brkdown blow th ky support zon btwn $54,000 nd $55,000. Should this lvl b brchd, furthr dclins could trgt btwn $52,000 nd $50,000. Rvrsing this trnd would rquir lrg influx of cpitl, which hs yt to ppr.
Trdr ChrtKid lso notd Bitcoins ongoing short-trm brish trnd. Th rcnt brish MACD crossovr nd wk bullish momntum suggst BTC my drop blow $50,000 soon. Howvr, support in th $45,000 to $48,000 rng might stbiliz th pric nd prvnt dpr dclin.
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Text source: TronWeekly
