Early today Bitcoin had plunged below $40,000 trading around $39,000. But the flagship currency has gained back its $40,000. Since the Federal Reserve started increasing interest rates in reaction to high inflation and continued geopolitical instability, Bitcoin, Ethereum, and the entire Cryptocurrency market declined in recent weeks.
At the time of reporting Bitcoin Price is changing hands at $40,378 with a plunge of 1.71% over the last 24hrs
Bitcoin To Drop At $26k
The recent Bloomberg report reveals that with Bitcoin facing a bearish pattern for more than two weeks, the BTC price might fall as low as $26,000 if a bearish flag technical pattern appears.
As the world’s largest cryptocurrency fell below $40,000 early today, it marked one of the lowest levels for the first time since mid-May.
According to Coinglass, a future trading & information platform, over the past 24hrs, approximately around $439 million worth of cryptocurrencies have been liquidated with long positions positioned at 88.03%. Also, Bitcoin future traders departed with $160.19 million.
Meanwhile, the Federal Reserve’s hawkish U-turn has now pushed the dollar to rally while parallelly applying pressure on Bitcoin-like risky assets. The US dollar index (DYX) has recently skyrocketed above 100 making for a fresh two-year peak.
The US dollar Index (DYX) measures the strength of the greenback relative to the box of other foreign currencies. On Monday, the US market too closed with the benchmark Dow Jones Industrial Average index falling 1.89%.
Also Read : Bitcoin Price Following Footsteps Of Nasdaq 100, What Next For BTC Price?
Now as per reports, Bitcoin is on the horizon to retrace back to a pivotal support level of around $37,500. If bulls fail to find a way to rally from here then that could turn out to be a disastrous move for Bitcoin bulls.
Oanda’s Jeffrey Halley is also of the opinion that the world’s largest cryptocurrency will be trading within the established range and the lowest boundary is set at $36,500. If Bitcoin manages to surge above this level, then the price might revisit at the $47,500 level.
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