Bitcoin (BTC) took a big plunge last week. The price lost traction at $30,000 and briefly dipped below $27,200 on Saturday. Since then, bitcoin has held up and the price has even recovered slightly. Bitcoin hit $27,900 last night, but is rapidly dropping this morning to $27,450 on Binance and $25,000 on Bitvavo.
This puts the bitcoin price down 1.1% today. The trading volume fell by 7% in the past 24 hours. The total market capitalization is $532 billion and the dominance is 45.9%. The Fear & Greed Index comes out at 53 (Neutral).
Bitcoin Fear and Greed Index is 53 – Neutral
Current price: $27,584 pic.twitter.com/BQRNM0IRzO— Bitcoin Fear and Greed Index (@BitcoinFear) April 24, 2023
Investors who bought top sell at a loss
Last Friday, a whopping $240 million worth of BTC was sold, reports James V. Straten. Selling behavior among investors is becoming increasingly aggressive, the analyst says. He adds that it’s mainly short-term holders, who bought the top just above $30,000, who sold the most recently, and at a loss.
Friday looked like a lot of fear entered the #Bitcoin market. Almost $240M worth of #Bitcoin was dumped on Friday.
After almost seven consecutive days of coins entering exchanges, selling got progressively more aggressive. pic.twitter.com/Z4nZHFPqzK— James V. Streets (@jimmyvs24) April 23, 2023
Confidence that we are in a bull market seems to be rapidly waning again. Analyst company Ecoinometrics therefore calls the current market a typical bear market.
A typical Bitcoin bear market. pic.twitter.com/oxv1dajX3C
— ecoinometrics (@ecoinometrics) April 23, 2023
Bitcoin price is in crucial price zone
Bitcoin has been in a somewhat crucial price zone since Friday. The price is just above the 50-day simple and exponential moving averages, which come in at $27,120 and $27,300. It also sits just below the 100-week exponential moving average, which comes in at $27,630. There is also a so-called CME gap in between.
For now, bitcoin is holding above 27,000. According to the co-founders of analytics company Glassnode, this could even be a sign of a new bottom.
Week ahead
Market defended $27k support, #BTC📷 bottom may be in
Alts are looking oversold with a lot near support. Waiting for further confirmation of #Bitcoin bottom
Don’t miss out 👉 https://t.co/FLMPvSENIS pic.twitter.com/qBUE2Ug0hl— 𝗡𝗲𝗴𝗲𝗻𝘁𝗿𝗼𝗽𝗶𝗰 (@Negentropic_) April 23, 2023
However, analyst Caleb Franzen notices that bitcoin is not yet able to break through $27,820 again. This is necessary to keep the momentum bullish, according to the analyst. There seems to be a lot of fear in the market that if $27,000 doesn’t hold, we could quickly drop another step lower towards $25,000.
#Bitcoin has been unable to break and stay above $27,820 (green range), which is a key level I’ve been sharing.
For short-term momentum to shift in favor of the bulls, I think we need to see price get (and stay) above this range.
It continues to act as resistance… pic.twitter.com/Rs4Gjz7L3s
— Caleb Franzen (@CalebFranzen) April 24, 2023
New macro data this week
Last week was a bit quieter in terms of macroeconomic data, but prices still took a sharp dive. This week promises to be even more exciting.
Among other things, we have it earnings season, which starts to run at full speed. As many as 42% of S&P 500 companies will publish their quarterly results in the coming days, including the very largest companies. The premarket futures are already turning red this morning.
New US housing market figures will also follow tomorrow, unemployment figures on Thursday and new inflation figures this Friday with the core personal consumption expenditures (PCE). The Federal Open Market Committee (FOMC) meeting follows next week.
Week ahead 🎞️:
▪️ New 🏠 sales Tue
▪️ Durable goods orders Wed
▪️ Jobless claims and 🚨GDP first report Thu
▪️ PCE Fri
▪️ Earnings: $MSFT $GOOGL $V $META $AAPL $AMZN $BA $MA $ROKU $NET $SNAP $XOM $SPOT $CMG $VZ▪️ Daily market highlights newsletter 👉🏼https://t.co/V9Pl0LSb5u 👈🏻 pic.twitter.com/zJ9ang2ZX5
— Rahul (@rhemrajani9) April 23, 2023
Bitcoin NFTs continue to grow rapidly
Despite the falling price, NFTs continue to do remarkably well on the Bitcoin network. The number of Ordinals, or bitcoin inscriptions, on the network is increasing at an increasing rate, according to data from Dune Analytics.
Ordinals launched Jan 21, 2023
Here’s how long it’s taken for Inscriptions to reach each benchmark 👇
55 Days from 0 to 500,000
21 Days from 500,000 to 1,000,000
15 Days from 1,000,000 to 1,500,000At this rate it will take 👇
13 Days to hit 2,000,000
35 Days to hit 3,000,000… pic.twitter.com/PYtDeqZKpE— trevor.btc @ NYC (@TO) April 23, 2023
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