The crypto market pushes further down and seems poised for more losses as Bitcoin touches the low of its current levels. The number one crypto by market cap approaches a major support level, and if bulls failed to protect it, BTC’s price could return to its 2020 range.

Related Reading | By The Numbers: Bitcoin Suffers Largest Single Day Drop Since March 2020

At the time of writing, Bitcoin (BTC) trades at $21,800 with a 5% and 29% loss in the last 24-hours and 7-days, respectively. BTC’s price began to trend lower as a result of a series of bad news around major crypto companies, and the U.S. Federal Reserve (FED) shift to its monetary policy.

BTC’s price trends to the downside on the 4-hour chart. Source: BTCUSD Tradingview

The general sentiment in crypto is fear as market participants are prepared for further losses. According to crypto exchange BitMEX Co-Founder Arthur Hayes, investors are hedging against downside price action by buying put (sell) options contracts.

Hayes claims that options platforms Deribit record a high Open Interest (OI), total open options contracts, for Bitcoin at $20,000 and for Ethereum at $1,000. In addition, Hayes believes other “massive” investment vehicles could be “centered around those strikes”, around those specific price levels.

In that sense, $20,000 seems like a critical support level for Bitcoin. This price point coincides with…

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