Crypto Market Remains Extremely Fearful As Bitcoin Struggles At $20,000
03 September 2022 - 6:00AM
NEWSBTC
The crypto market has found itself at odds since the price of
bitcoin had fallen to $20,000. This remains an important technical
level for the digital asset because it is right above its previous
cycle peak. As such, investors across the space watch with bated
breaths to see if bitcoin will be able to hold this level. This
has, in turn, led to a decline in investor sentiment during this
time, causing the Fear & Greed Index to plunge low. Crypto
Index Sits At 25 The Crypto Fear & Greed Index is an
indicator that draws from a number of metrics to give an aggregate
score to represent how investors are feeling toward the market. It
ranks these across four categories, and presently, investor
sentiment falls in the lowest of these. Related Reading: IOG Says
Cardano Vasil Hard Fork Is Almost Here, But What Is ADA Doing? In
its most recent update, the Fear & Greed index places the
market in the extreme fear territory with a score of 25. This is
after the index had hit its lowest of 20 in more than a month,
signifying some rise in positive sentiment in the last day.
However, the present score is not so good for the crypto market.
With a sentiment like this, investors are wary of putting any money
into the market, causing panic and leaving the playing ground to
the sellers. This works to push the prices of digital assets in the
space even further down. Bitcoin Struggles With $20,000 The $20,000
mark has been one of the hardest levels to maintain for bitcoin.
Volatility always seems to shoot up whenever bitcoin is at this
point, leading to erratic movements in price. This way, the digital
asset continues to move above and below $20,000. Nevertheless,
bulls continue to put up a fight at this level because there is no
significant support below this level except at $17,600. This
cycle’s low, which had plummeted below the previous cycle peak,
puts bitcoin in a perilous position. Related Reading: Bitcoin Marks
9th Consecutive Month Of Sluggish Funding Rates Historical data
puts bitcoin at least 80% down from its all-time high for the
bottom of the bear market to be in. If the market follows this
trend, then $17,600 may not be the bottom for the market. Bitcoin
is only about 70% down from its all-time high as it currently
stands. An 80% drawdown would put it around $15,000. However, it is
important to keep in mind that bitcoin has broken different
historical trends during this cycle. An example is that its price
has never fallen below its previous cycle peak, so an extension to
this deviation could see bitcoin shake off the expected 80%
drawdown. Featured image from CNBC, chart from TradingView.com
Follow Best Owie on Twitter for market insights, updates, and the
occasional funny tweet…
Amp (COIN:AMPUSD)
Historical Stock Chart
From Mar 2024 to Apr 2024
Amp (COIN:AMPUSD)
Historical Stock Chart
From Apr 2023 to Apr 2024
Real-Time news about Amp (Cryptocurrency): 0 recent articles
More Amp News Articles