Why Is Bitcoin (BTC) Falling? Latest Bitcoin (BTC) Developments!
With the FED signaling a policy change, Bitcoin ( BTC ) continues its negative course. For about 10 weeks, crypto money markets have also turned down under the leadership of Bitcoin. So when will Bitcoin rise again? What are the latest developments about Bitcoin?
Latest Bitcoin (BTC) Developments
Bitcoin continues to find buyers at $ 42,140 at the time of writing. In the evening, the Prime Minister of India called for the regulation of cryptocurrencies on a global scale. The Walmart news that came yesterday did not affect Bitcoin. The implementation of their own NFT , metaverse and crypto money projects by giant companies such as Walmart is now perceived in the same category as the CBDC studies of the states. These studies, which do not directly mean investment in existing cryptocurrencies, are perceived as technological R&D. In the future, the realization of similar projects may no longer affect cryptocurrencies negatively or positively.
On January 20, the mining of Bitcoin and other cryptocurrencies with the PoW algorithm will be discussed in the US committee. The market is pricing this negatively, as the damage caused by the energy consumed by these miners to the environment will be discussed. On Wednesday, after the FED meeting, FED Chairman Powell will speak at 22:30 . Although no rate hike is expected, it is expected to make clear future statements regarding the reduction of the balance sheet. The expectation of monetary contraction can negatively affect the cryptocurrency and stock markets. The monetary expansion that started last year is now coming to an end. Positive pricing brought about by monetary expansion can also be erased, at least for a while.
Why Is Bitcoin (BTC) Falling?
Details in the news feed already give us a lot of insight into why the price has dropped. In addition to all these, the fact that 44.500 resistance on the technical side is still not exceeded and 42.000 support is frequently violated brings to mind the possibility of lower bottoms. Weak volume in futures and stagnation in cryptocurrency exchanges allow bears to sell less and lower the price faster.
Individual investors, on the other hand, are uneasy due to the news, and investors prefer to act cautiously against the possibility of Bitcoin falling further. On the four-hour chart, the RSI is in oversold territory with 24. Volume is weak and sellers remain dominant.