Crypto:
30601
Bitcoin:
$58.668
% 1.49
BTC Dominance:
%53.3
% 0.09
Market Cap:
$2.13 T
% 0.20
Fear & Greed:
25 / 100
Bitcoin:
$ 58.668
BTC Dominance:
% 53.3
Market Cap:
$2.13 T

Bitcoin Drops Below $64,000: Potential for Further Decline to $60,000

Bitcoin, Downtrend

Based to cryptocurrency research company CryptoQuant, Bitcoin has dropped below $64,000, breaching its short-term holder realized price and indicating a possible further drop to depths not seen in 49 days.

CryptoQuant said in a June 21 X post, “Bitcoin is trading below the critical support level of $65.8K, now below $64K.” The company said, ” Falling under this threshold suggests a possible 8%-12% correction towards $60K.” According to CoinMarketCap statistics, this barrier has not breached since May 3, when Bitcoin was trading at $59,122.

Main Support Levels and Market Reactions

Based on LookIntoBitcoin statistics, Bitcoin’s recent loss of 2% to $63,424 below the short-term holder realized price (STH-RP) at the time—$64,230. For traders, STH-RP is a vital indicator as it shows the overall cost basis of more speculative Bitcoin holders— wallets keeping Bitcoin for 155 days or less. As it has done for most of the bull markets since early 2023, this level frequently serves as a support. Breaking this threshold, however, worries traders about a further drop in the price of Bitcoin.

“In upward trending markets, Bitcoin’s short-term holder realized price usually acts as support” pseudonymous crypto trader Crypto Caesar stated on June 19. Added LookIntoBitcoin creator Phillip Swift, “Let’s see if it holds.”

This Might Interest You: Solana ETF Application Filed: Canadian Company Takes First Step

Based on CoinGlass data, a slide down below $60,000 would cause long position liquidation of $1.64 billion. After two major events this year—the introduction of spot Bitcoin ETFs in the United States in January and the Bitcoin halving in April—bitcoin has been hovering around $65,000 for some time and traders speculate on its future action.

READ:  OKX, Removes USDT Trading Pairs in Europe!

Long-term Estimates and Market Fundamentals

Bitcoin has been in 92 days of longest period of consolidation. The prolonged consistency seems to be preparing the asset for a “massive upside rally.” Founder and CEO of on-chain and market analytics company CryptoQuant Ki Young Ju says “Bitcoin network fundamentals could support a market cap three times its current size compared to the last cyclical top.”

Young Ju underlined the continuous volatility of cryptocurrencies and the resiliency of the Bitcoin network on May 8 by referring to a chart comparing BTC’s price and the related hash rate to market capitalization ratio. Young Ju said it could “probably sustain” Bitcoin’s price to $265,000 if this ratio keeps rising.

Driven by core network principles and more general market movements, traders and investors will be keenly observing for indicators of either a further collapse or a possible surge as Bitcoin negotiates key support levels and market dynamics.

Click here to get the latest news from Coin Engineer! 

Rate this post

Leave a Reply

Your email address will not be published. Required fields are marked *