Bitcoin "finds a new bottom" again
After a series of 4 consecutive days of moving sideways in the area of 56,000 USD - 59,000 USD, price Bitcoin (BTC) late at night on December 3 and early in the morning of December 4 was once again sharply corrected, falling from a 24-hour peak of $57,600 to $51,680, equivalent to a loss of 10.3% of value.
According to Coinglass statistics, the derivatives market cryptocurrency once again suffered a strong blow from the above drop when up to half a billion USD was liquidated in the last 4 hours, with nearly half of orders Bitcoin transaction. There are nearly 82% liquidated orders are long orders, concentrated on exchanges OKEx and Binance.
The above price is also the lowest value of Bitcoin since October 5, the time when this currency recovered strongly after China's ban and quickly broke the threshold of $ 50,000 thanks to many different motivations.
When motivation is gone
However, it seems that “growth momentum” is also the reason behind the downward trend of the world’s largest cryptocurrency since mid-November until now. Since the funds ETF Bitcoin in turn was listed on the US stock exchange in October and the BTC event was successfully implemented Taproot – the only major upgrade in the last 4 years, Bitcoin seems to have "lost faith" to go further.
Currently, the record peak of this currency is 69,000 USD, set on 11/10 with the reason that the US announced the inflation rate reached a 30-year high. This is a message good news for the crypto sector as a whole in the short term, as it shows the dollar is depreciating, causing alternative assets like crypto and specifically Bitcoin benefits. However, because this is a "macro" growth reason and does not come from BTC's own internal strength, it cannot guarantee the stability of the price line, leading to Bitcoin being regulated. correction.
Positive news like MicroStrategy spent nearly half a billion dollars to buy more Bitcoins El Salvador The expected issuance of $ 1 billion in BTC bonds is also not enough to revive the market, because these "tricks" are simply too old or have no practical impact at the moment.
There's no upside momentum, but News that causes Bitcoin to drop so much more. First, BTC last week had a dump strong to $ 54,800 according to the global stock market after a new strain of COVID-19 named Omicron recognized and warned by many countries as extremely dangerous. Many analysts fear Omicron could wipe out the world's recovery efforts after the 2020 pandemic because it is more contagious and more virulent than the Delta strain. However, there are no studies to show whether Omicron can be resistant to vaccines.
Next, this week, the US Federal Reserve (Fed) officials have voiced the possibility of intervening in the market to raise interest rates earlier than expected in 2022, reduce the inflation rate to watch out for Omicron. Although the head of the Fed at this time continues to be Mr. Jerome Powell, the Chairman has a view to maintain low interest rates to support the recovery of US businesses and has just been nominated by President Biden to continue to take charge of the bank. the US central bank for another 4 years, but perhaps the Fed will not want to repeat the mistakes of the 2020 epidemic and will actively reduce inflation with the goal of stabilizing prices for consumers.
Besides, other negative information such as SEC continue to reject the fund ETF Bitcoin nice India “smoothly” change the legal stance on banning cryptocurrencies, and whether the project Badger KNIFE Recently hacked by hackers and took away more than 120 million USD of tokens pegged to Bitcoin did not make the situation better.
Over 2,101 BTC were stolen from the @BadgerDAO . According to our investigations, the hacker converted the proceeds into renBTC before transferring them to 14 different BTC addresses. And ETH worth approximately $700,000 was stolen. We will continue to monitor the stolen funds. pic.twitter.com/2bnCCrfe1RDecember 2, 2021
What is the outlook for Bitcoin in the near future?
At the moment, what Bitcoin is doing is still going to find a strong enough support area to support the price line. It could be the $50,000 threshold, lower at $48,000, or even a drop to $43,000. Only time will give the correct answer.
Even so, some analysts are still optimistic about the BTC price outlook in December – the peak month of past rallies. PlanB, an analyst who accurately forecasted BTC price movements for three consecutive months from August to October, still maintains that Bitcoin can make a new high near the $100,000 threshold despite the November prediction. incorrect.
With the Bitcoin price marking a drop to 7% in November and showing no signs of turning back anytime soon, the number of people who believe in PlanB's analytics is dwindling.