Bitcoin
Why is the price of Bitcoin falling today?
The price of Bitcoin is plummeting heavily! Altcoins are bleeding! The entire crypto market value has been reduced by almost 2%, suggesting that a bearish trade is in play. Furthermore, ETF outflows exceeded inflows count and the growing dominance of altcoins can be considered one of the main reasons behind the decline. However, it was speculated that the price of BTC would reach $60,000 in the coming days, which appears to happen any time this week.
At the end of the week, the BTC Price was struggling hard to recover $65,000 but fell below the key support level of $63,500. Furthermore, the token witnessed a continuous decline until the price bottomed at around $62,634, which could be attributed to many factors such as profit-taking by investors, negative news in the market, ETFs, etc. bearish range with limited recovery in the last week of the second quarter of 20204.
Bitcoin price has fallen below the ascending trendline, which had been showing strong support for more than a few months. Unfortunately, levels have reached the lower bands of the Gaussian Channel, which is an indication of the beginning of a bearish period. Furthermore, the Ichimoku cloud is about to issue a sell signal as levels are about to undergo a bearish crossover. The other factor contributing to the continued decline is the downward OBV.
OBV, or on-balance volume, is a volume-based indicator used to evaluate the next price action of the token that has fallen below key support. The falling levels suggest that the token is in the distribution phase, warning of a bearish breakout. Furthermore, the volume is also decreasing, which supports the bearish narrative. At the same time, the price once again enters the capitulation phase.
Hash tapes indicate when miners are in deep distress and may be capitulating. This usually occurs when the price of BTC is at important lows, which can also be a good buying opportunity. The indicator considers the 30-day and 60-day SMA and a downward crossover signals the beginning of the capitulation phase, as happened a few days earlier.
Collectively, the price of Bitcoin (BTC) remains in deep distress and is on track to form new lows below $60,000 before the end of the quarter.