Bitcoin tumbles below $47K wiping out October gains — Bear market begins?

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Bitcoin (BTC) suddenly fell below $ 47,000 on December 4 and has lost almost 20% in the last 24 hours. This is the biggest fall in one day since May 15, when the bitcoin price temporarily fell to almost 33,000 dollars.

The market price of BTC fell 26.4% from weekly support of $ 57,206 to $ 42,268 before returning to $ 45,000. According to ByBit, $ 1.3 billion has been liquidated in the bitcoin market in the last hour, by $ 735 million in long BTC liquidated on this case.

Diagram showing total BTC liquidation. Source: ByB
As a result, the bitcoin bear market canceled a two-month bull market since September 29, with a bitcoin rally of more than 63%, reaching a record high of $ 67,602 by November 8. However, many bitcoin analysts, including TechDev, point to a similar trend in the bitcoin price movement each year.

Another reason for Bitcoin’s two-month low bearish band may also stem from overwhelming opposition from US regulators, who have urged prominent crypto exchanges CEOs, including FTX and US Binance, to listen to cryptocurrencies.

On the other hand, some believe that the price of bitcoin may now stabilize after the fall. For example, Michael van de Poppe, CEO of educational crypto platform Eight Global, stated:

Despite concerns about volatility and non-compliance with traditional financial practices, Bitcoin continues to grow as a viable resource for volatile economy jurisdictions.

Related topics: Zimbabwe may be the next country to accept Bitcoin as a legal tender

In the footsteps of El Salvador, the Zimbabwean government is considering the massive use of bitcoin. As the Cointelegraph reported, formerly retired Brigadier General Charles Weequete, permanent secretary and head of the presidential office and e-government technology division in the Cabinet of Ministers, confirmed that negotiations with the companies are already underway.

Related topics: El Salvador stacks up 150 Bitcoin after BTC price drop below $ 50K

Vekwete said the authorities intend to develop rules to protect consumers from financial threats such as unregistered cross-border transfers, offshoring and money laundering.

Source: CoinTelegraph

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