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Bitcoin returns below $65,000 for the first time in more than a month
This year, the worsening macroeconomic climate and the collapse of industry giants such as FTX and Terra have weighed on the price of bitcoin.
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Bitcoin It fell with the broader cryptocurrency market on Tuesday, amid concerns about the global economy and lower summer liquidity.
According to Coin Metrics, the price of bitcoin fell 3% to $64,680.44, falling below $65,000 for the first time since May 16. Earlier in the day, it had fallen as low as $64,347.91. Ether it lost 4% and traded at $3,401.37.
Other cryptocurrencies have suffered larger declines. The one from Ondulazione XRP fell by 6%, while that of Solana SOL the token slipped 7% and dogecoin it fell 11%.
See graph…
Bitcoin 1 month
“Often, when traders are unimpressed with the performance of the economy or markets, they sell at a discount to minimize losses or abandon riskier positions while they wait for the uncertainty to resolve,” said Marko Jurina, CEO by Jumper.Exchange, a decentralized exchange (DEX) that allows users to exchange and connect cryptocurrencies across blockchain networks.
“Today we will probably see one or both of these scenarios come to fruition,” Jurina added. “Economic conditions around the world are weakening, geopolitical issues are far from resolved, and markets are weaker during the summer months. Given this perfect storm, movements will likely be parabolic in one direction or the other, at least for the next few months, while many people are away from their desks during the holidays and during the US presidential election.”
In actionsthe tech-heavy Nasdaq Composite fell 0.1%, while the overall market S&P 500 was little changed following weak US retail sales data for May. Coinbase shares fell 3%, while MicroStrategy dropped by 1%.
Bitcoin has been struggling with the $70,000 mark since hitting a March 14 record of $73,797.68. It last tested that level in early June. That’s down 4% for the month and 9% for the quarter.
According to CryptoQuant, bitcoin’s downside may be limited, but there is little evidence of bullish momentum at the moment. Its on-chain data suggests that traders have reduced their holdings since bitcoin hit the $70,000 level in late May and are still not buying.