Bitcoin Struggles To Claim $20,000 Mark Amid Bear Market
Bitcoin shows no reversal, and many altcoins are still in the red zone. The market condition can be traced to several factors, such as the Federal Reserve’s hike in interest rates. A few weeks back, the crypto markets dropped even further after the announcement of the interest rate hike.
Several altcoins, including Bitcoin and Ethereum, reacted negatively to the report. Bitcoin and Ethereum went down by 0.9% immediately after the Federal Reserve report. In 24 hours, they dropped by 2.4% and 2.0%, respectively.
This motion brought the price of Bitcoin to a little above the $23,300 price mark. Ethereum, at the time, was trading at a price just above the $1,800 price level. Other markets also went down to the red zone during this period. A notable example is the stock market.
Dow Jones, for instance, dipped by about 0.23%. Additionally, the Nasdaq and the S&P 500 are also trending sideways. Dating from then up to now, the crypto markets continue to drop, bringing Bitcoin a little lower than the $20K price level.
In the last 24 hours, the crypto market has shown that the bears are creating no room for the bulls. This fact leaves Bitcoin struggling to attain the $20,000 price level.
This price mark is as essential to BTC as it is to the digital currency market. The reason is that the $20K price level marks the 2017 to 2018 bull market top price. So, for the crypto market movement to continue in a bullish trend, it must stay above this price level.
While it appears BTC will hit $20K, it trades at a price just below the coveted price. According to the market watch, BTC has been down by 7% in the last seven days. Meanwhile, its 24-hour drop rate is about 1.5%.
A chart revealed that the volatility of the BTC has also reduced in the last 24 hours compared to two days back. This was evident when it surged above the $20K price level almost immediately after hitting the $19,500 price mark.
The Bearish Crypto Market
From the present look of the crypto markets, only a few tokens display bullish movement. Aside from these digital tokens, the market fluctuates around the red zone. At the moment, there’s no positive sentiment about the current state of the market.
Some of the altcoins are down by a few percent in the past 24 hours. For example, Ethereum, the second largest cryptocurrency, is up by 3%.
Featured image from Pixabay and chart from TradingView.com