Bitcoin (BTC) is now below the price of a week ago. Last Sunday, bitcoin fluctuated between $38,500 and $39,500 after the price recovered from a significant dip that coincided with the outbreak of the war in Ukraine.
Bitcoin falls even deeper
From bitcoin price This week started off with a dip to $37,500 but then jumped massively on Monday. Bitcoin first shot to $43,500 and even peaked at nearly $45,000 a day later. However, just like a few weeks ago, the resistance here turned out to be too great.
Last Thursday, the price started to fall again and on Friday, bitcoin plummeted even faster. Friday night bitcoin could support around $39,000 and started moving cautiously towards late yesterday afternoon. The price continued to hover around $39,500 for the rest of the evening and night, but bitcoin did not rise above $39,700.
Around half past four last night, bitcoin made a significant dip to $39,000, but then also a bounce back to $39,500. However, a few hours later, bitcoin lost traction again and then began to fall sharply. At the time of writing, bitcoin is priced at $38,350 at Binance and €35,000 on Battle† As a result, the price fell 2.9% this morning and bitcoin is 1.8% in the minus compared to a week ago. It looks like bitcoin this week with a red candle close.
Market fear continues to rise
So Bitcoin is stuck in the current range for now. The rise at the beginning of this week brought some confidence back, but now the fear in the markets is extremely high again. A huge amount of investors draw their money from all kinds of (risky) assets, except raw materials and precious metals.
On Dec 16, 2021, the US Treasury began to absorb #dollarswhich has supported the $USD. In contrast, non-residents [predominantly Europeans] sell off their dollars from Jan 20, 2022. The Europeans are most likely the only investors fleeing from all #markets except $GOLD. #stocks pic.twitter.com/TfS1XaqWtP
– barovirtual.io (@BaroVirtual) March 5, 2022
Despite this, bitcoin appeared to be recovering again as there is still a lot of confidence among long-term holders. They provide a lot of support, which makes analysts believe that we will still see a rally, as long as bitcoin does not fall too deep first.
However, this morning the following message is fueling even more fear and uncertainty in the crypto market. Anton Nell and Andre Cronje, known for some great decentralized finance (DeFi) projects, suddenly stop. More on that later on Crypto Insiders.
Most notiblyhttps://t.co/SJhS8JI2fT (use https://t.co/dIf7HllUKH)https://t.co/XY0GDeJy9T (use https://t.co/uUK45iz2fx)https://t.co/KYFr6KkGZb (use https://t.co/Z3EldYg0wj)https://t.co/J813DMXTdb (lots of people replacing it)https://t.co/wOnlLnBztJhttps://t.co/WOipmCRr9o
2/3— Anton Nell (@AntonNellCrypto) March 6, 2022
Yet there are also bullish Find signals for bitcoin. For example, the Canadian Purpose Bitcoin ETF continues to grow according to data from Glassnode. Santiment also reports that whales are accumulating tether (USDT) again.
According to Glassnode, the number of bitcoins held by the Purpose Bitcoin ETF has reached a new high. Since 2022, despite the gradual decline in market conditions, the number of bitcoins it holds has continued to grow, from 29,494 to 34,613, an increase of about 5,000 bitcoins. pic.twitter.com/cYfZPUvYSt
— Wu Blockchain (@WuBlockchain) March 6, 2022
🐳🦈 Whales and sharks provide alpha through #stablecoin behavior, just as they do with their $ BTC and #altcoin accumulation and dumping. In the last month, addresses with 10k to 10m #Tether have added $1.06b in buying power, 2.7% of the total supply. 🤑 https://t.co/nBa8wBvmKi pic.twitter.com/aGvs8rZX3x
– Santiment (@santimentfeed) March 6, 2022
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