Bitcoin (BTC) It has lost more than 17% of its value in the past few days. Looks like the decline is calming down a bit right now and Bitcoin price It cautiously starts to turn green, but the fear is still very high.
Bitcoin Fear and Greed Indicator is 11
Current price: 35,370 dollars pic.twitter.com/Y3VdNqx9Eo
Bitcoin Fear and Greed Indicator Jan 23 2022
Some analysts are talking about a possible bottom, but this appears to depend mainly on macroeconomic developments, especially the policy of the Federal Reserve. The Federal Open Market Committee (FOMC) will hold another meeting next Tuesday and Wednesday, which could once again have serious consequences for financial markets.
5 / BTC dollars He also acted as a leading indicator on December 18 when Powell changed his tune and Mnuchin rolled out the immersion control team.
All eyes are on Powell & FOMC on Wednesday but BTC will serve as one of the most important indicators for the macro markets over the next couple of months.
– John Street Capital (@JohnStCapital) January 22 2022
Bitcoin price trying to recover
Bitcoin Initially, it recorded an additional drop yesterday morning all the way to $34,000, the lowest price since late July. Then make the price instantly great bounce, bounce It rose to $36,000, but the resistance was still very strong.
Bitcoin gradually declined again, but this time the price found support around $34,500. The whale charts indicated up front that the price might find support here because the whales bought a lot here.
– whale (whale_map) Jan 21 2022
Then Bitcoin started to recover slightly slowly and rose again overnight to $36,000. However, this morning Bitcoin was rejected again here. Bitcoin price reaches $35,850 at the time of writing Binance and 31,600 euros. employment battle.
What can we expect?
However, whether Bitcoin actually hit the bottom is highly debatable. As mentioned earlier, the direction of the bitcoin price is currently determined mainly by macroeconomic conditions. In addition, the market is still somewhat over-indebted So if the price drops again, it could lead to another series of liquidations.
In contrast, the on the chain still data rising Draw the picture. Bitcoin could be oversold And miners are still not giving up, even though the mining difficulty is higher than ever.
Miners do not sell # bitcoin
– Plan ©️ (TheRealPlanC) January 22 2022
Also, BTC supply on cryptocurrency exchanges continues to decline, which is a bullish sign.
# bitcoin The exchange balances continues its downward trend despite the continuous correction of prices. Not to say this should translate into price, but the decline is generally positive.
As always, treat the latest data with caution, as it is subject to change. pic.twitter.com/lIElcrb4s8
– Jan Fustenfeld (JanWues) January 22 2022
Do you panic if you wish but the supply of illiquid bitcoin is rising relentlessly. pic.twitter.com/Mc8WAIf7Qt
– Lex Moskovsky 🐙 (mskvsk) January 22 2022
However, the demand is not high enough at the moment to include a bounce, bounce to cause. Due to the great fear in the market, many investors are still hesitant. So there is definitely a possibility that this might not be the bottom and a dip below $30K is still possible. With HODLers resilient but demand not strong enough to trigger a breakout higher, we may also enter another period of consolidation.
It might be something here, I’ll let you decide… People are going through tough times right now, so good luck everyone. My personal goals remain. pic.twitter.com/DICFevY3ss
– Ricus 🇦🇺 (rickus_trades) Jan 23 2022
When thinking about ratings, don’t forget that the denominator has moved a lot as well…. pic.twitter.com/DUSeQ9osix
– Jonathan Cheesman 🧊🧊 (@jon_ftx) Jan 23 2022
– Matthew Hyland (@MatthewHyland_) Jan 23 2022
Far from wrong, but this is the relationship I’ve seen historically. A tough macro environment, but it wouldn’t shock me if we got close to the bottom.
More people are amassing bitcoin instead of looking for the way out. pic.twitter.com/pwVllFh1as
– T. | dataalways.eth (Data_Always) Jan 23 2022
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