#Bitcoin breaks support level#
Hot Topic Overview
Overview
Bitcoin is currently at risk of losing key support levels, as its price has broken below the support zone between $90,000 and $93,000. This is primarily due to a decline in risk assets, as the dollar index and US Treasury yields rose following 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 potential rate hikes, further adding pressure to Bitcoin. While Michael Saylor has stated that MicroStrategy may purchase Bitcoin again, market sentiment remains negative, with some observers predicting a drop to $70,000. The 30-day moving average of the Coinbase-Binance BTC price differential has fallen to its lowest level since at least 2019, indicating weakened demand within the US.
Ace Hot Topic Analysis
Analysis
Bitcoin recently fell below its support level, primarily due to an overall decline in risk assets, a rising US dollar index, and increasing US Treasury yields. Following the release of the nonfarm payrolls report, expectations for a Fed rate cut weakened, with some investment banks even suggesting that the easing cycle has ended. Bank of America even hinted at the possibility of a rate hike. Additionally, the 30-day moving average of the Coinbase-Binance BTC price difference has fallen to its lowest level since at least 2019, indicating a weakening of US domestic demand. Some observers believe that Bitcoin's price could fall to $70,000 before rebounding again. Despite this, MicroStrategy founder Michael Saylor has indicated that he may buy Bitcoin again, which could mitigate the negative market sentiment.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
Bitcoin is at risk of losing a key support zone as traders sell risk assets, driving the price lower.
Some investment banks believe that the Fed rate cut cycle is over, with Bank of America hinting at potential rate hikes, exacerbating the risk of a bitcoin decline.
Consensus is that the bitcoin price will drop to $70,000 before rising again.
The 30-day moving average of the Coinbase-Binance BTC price differential has fallen to its lowest level since at least 2019, signaling a decline in domestic demand.