Bitcoin Backpedals To $16,000 Level As Crypto Market Sheds $50 Billion

Christian Encila

1 year ago

3 mins read

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Created by industry experts and meticulously reviewed

The highest standards in reporting and publishing

How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

In the past 24 hours, Bitcoin has slid beneath the important support level of $17,000 as weekly bears have taken the driver’s seat. The most popular cryptocurrency is presently selling at $16,723, a decrease of 2.5% over the past week.

There has been significant selling pressure on the cryptocurrency market as a whole, resulting in a 6% correction and a $50 billion loss over the past 24 hours. As a result of the latest price decline, BTC has let go of all weekly gains and returned to the red zone.

TradingView and Cointelegraph Markets Pro data followed BTC/USD as it reached multi-day lows on Bitstamp at $16,928. The pair reversed its entire advance to one-month highs in response to the most recent macroeconomic data and the US Federal Reserve’s decision to raise interest rates.

Similarly, the price of Ethereum has dropped more than 7% in the previous 24 hours, according to figures from CoinGecko. The second-largest cryptocurrency has decelerated during the past week, trading below $1,178.

Bitcoin and Ethereum accounted for the vast majority of the $117 million in leveraged positions that were wiped out throughout the entire cryptocurrency market.

Image: Cryptopolitan

Binance FUD Spooks Investors

The events surrounding Binance have unnerved crypto investors, who have been cautioned against overreacting to “FUD” concerning the exchange and others. Mazars Group, the auditor for Binance’s Proof-of-Reserves, severed ties with the exchange on Friday.

In addition, the current crypto market decline mirrors Wall Street’s severe downturn. Friday marked another 1% fall for the Dow Jones. This price decline is the result of the central bank’s vigorous monetary tightening.

Bitcoin appeared to conclude the year on a positive note at one point after reacting positively to US inflation and Consumer Price Index (CPI) statistics as well as subsequent Fed interest rate decisions.

The CPI measures the rate of price change for a range of goods. The rate increased by 0.1% in November, which is slower than the rate of inflation in October. At that time, the CPI report suggested a 0.3% price increase.

Crypto total market cap at $764 billion | Chart: TradingView.com

Bitcoin Bulls Still Retain Some Edge

Wednesday, the U.S. Bureau of Labor Statistics reported that based on their criteria, inflation was definitely still rising, albeit at a slower rate compared to the previous month. This indicates that the Federal Reserve’s hawkish efforts to curb inflation have so far been successful.

Jim Wycoff, an analyst at Kitco News, stated that despite the continued drop, Bitcoin bulls have managed to preserve a short-term technical advantage despite the alpha coin failing to maintain its recent gains.

“Bitcoin-U.S. dollar prices are down in early U.S. trading on Friday, as a result of a usual negative adjustment late in the week after reaching a five-week high on Wednesday,” Wycoff said.

Prices, he continued, remain in an “uptrend on the daily chart, and Bulls retain a modest overall near-term technical edge.”

The foundations of Bitcoin’s economy and market continue to be robust, despite the price of BTC experiencing one dramatic decline after another, with each newsworthy blow to the industry’s major players.

Christian Encila

They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn.

Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later).

Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley!

So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill).

Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair.

Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better.

Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies.

Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects.

So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.