[ad_1]
The cryptocurrency market has lost more than $ 12 billion from its valuation in the last 24 hours, as the price of Bitcoin has fallen below $ 4,000.
The main cryptocurrencies, including Stellar (XLM) and Bitcoin Cash (BCH), averaged around 6% in value, demonstrating a lack of momentum and trading activity.
massacre
On December 2, CCN reported that if the price of the dominant cryptocurrency falls below the value of $ 4,000 and fails to recover from $ 4,200 to $ 4,400, then a further fall at half $ 3,000 can become a possibility.
The report said:
"A technical analyst with an alias" The Crypto Monk "said that if BTC supports the $ 4,000 support level in the next 12-24 hours, a rebound of between $ 4,200 and $ 4,400 is possible. if it falls below $ 4,000, and was close to doing so earlier, another short-term correction may be in play. "
Since Sunday, Bitcoin (BTC) has seen its daily volume decline from around $ 6 to $ 5.2 billion due to falling prices. Under normal circumstances, during a downward trend, the volume of BTC tends to rise while other sales orders reach the market.
The decline in the volume of BTCs since its price has fallen by almost 4% in the last 12 hours indicates that the business is showing a low momentum without much strength at the support level of $ 4000 to support a price movement short-term positive.
Over the past five days, probably due to the positive meeting between US President Donald Trump and Chinese President Xi Jinping on a potential trade deal, the Dow Jones and US markets have seen significant increases in value.
Since November 27, the Dow Jones Industrial Average has increased by 1,065 points, recovering almost completely from the downward trend of the month during which it canceled its annual earnings within a period of three weeks.
However, while the US market recovered, the cryptocurrency market continued to show a lack of strength and volume.
Alex Krüger, economist and cryptocurrency analyst, said that Bitcoin shows no correlation with S & P 500 and other US markets. he He said:
"So far the bitcoin has been positively correlated to the S & P 500. However, the short-term correlations are unstable and oscillate around zero and the 180-day correlation stands at 0."
Potential catalyst
The recovery of the US stock market, expected by most investors in view of the inevitability of a trade agreement between the United States and China, has no impact on the price trend of cryptocurrencies.
Last week, several reports argued that as investors in the US market headed for exit, high-risk and high-yield assets such as cryptocurrencies were liquidated first, before traditional investment vehicles and activities.
Depending on the price trend of Bitcoin over the last two weeks, if BTC falls to the low threshold of $ 3,000, a new monthly minimum may be set in the next few days.
Shutterstock foreground image. TradingView Charts.
Get an exclusive cryptographic analysis by professional traders and investors on Hacked.com. Register now and receive the first month for free. Click here.
[ad_2]Source link
