Can Bitcoin (BTC) Bounce Back From this Recent Dip?
- Bitcoin price declined by 4% in the last 24 hours, slipping down to $58K.
- The BTC market sentiment is in an extreme fear zone.
The crypto market has suffered a notable price drop over the last 24 hours. Overall global crypto market cap has dropped by 4.07% to $2.05 trillion over the last day. Leading cryptocurrencies have fallen to considerable support levels, like in July. Bitcoin (BTC) and Ethereum (ETH) have fallen over 4% within the last 24 hours, sinking below $59K and $2.6K.
Bitcoin has been displaying significant fluctuations, and the current price momentum is at a declining pace, down by 3.98% in the last 24 hours. Notably, BTC fell from a high of $61K to a low of $58,207. During this dip, BTC’s trading volume has soared by 71.19% to $25 billion. At press time, BTC traded at $58,557, as per CMC data .
Moreover, the BTC Fear and Greed Index stays at 25, suggesting extreme fear in the market. Crypto data platform Coinglass reports that Bitcoin has witnessed a 24-hour liquidation of $41.31 million.
Meanwhile, there is an anticipation in the community toward a potential crypto ETF (exchange-traded funds) category. The Bitcoin ETF options are expected by the Q4 2024. According to ETF analyst, James Seyffart, the final deadline for a decision from the U.S. Securities and Exchange Commission is on September 21.
Over the past 24 hours, the US spot Bitcoin ETFs recorded an inflow of $89.73 million, according to Sosovalue data . Last week, Bitcoin spot ETFs had a considerable net outflow of $169 million.
Will BTC Face Further Declines?
Zooming in last week, Bitcoin was up by 10% and traded at a high of $62,510 after July’s market crash . As the week progressed, the token witnessed slight ups and downs, but it managed to maintain prices between $60K and $55,000.
By evaluating the BTC price chart, the daily relative strength index (RSI), which stands at 42.87, hints that the asset is approaching the neutral zone. Additionally, Bitcoin’s short-term 9-day MA, $58,334, stands above the 21-day MA, $62,474, reporting a brief bearish trend caused by the price dip, according to TradingView.
Notably, if BTC could step into the upward momentum, the asset’s price might touch its initial resistance at $59,635. As the bull run continues, the token may test subsequent resistance at the $60.5K range. However, in the event of a bearish turn, BTC will fall to find support at $57,631, and further losses will take the price to $56,896.
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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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