 ▲ Bitcoin (BTC) ©Coin Leaders |
Cryptocurrency leader Bitcoin (BTC) fell sharply on the 4th (Korean time), falling to the $58,000 level.
The price of BTC is plummeting due to concerns that a large number of Bitcoins held by Mt. Gox, a cryptocurrency exchange that went bankrupt 10 years ago, will be released into the market.
The pitching pitch also worsened. Cryptocurrency data provider Alternative's self-estimated 'fear and greed index' recorded 44, down 6 points from the previous day. As the pitching worsened, it went from a neutral stage to a fearful stage. The closer the index is to 0, the more extreme market fear it is, and the closer it is to 100, the more extreme optimism it is.
Cointelegraph predicted that Bitcoin's correction will continue longer as the $60,000 support line collapses.
Andrew Kang, co-founder of cryptocurrency investment firm Mechanism Capital, warned that Bitcoin could adjust to the $40,000 level.
“The current market is similar to May 2021,” Caen said via X. However, this time, large-scale cryptocurrency futures liquidation did not take place like back then. Considering this, the previous BTC price forecast of the low $50,000 range is too conservative. There is a high possibility that it will be adjusted to the $40,000 range. “In this case, the market will take a significant hit and will require a recovery period of several months.”
Meanwhile, cryptocurrency analyst and trader Ali Martinez said through “As liquidation has occurred, it will likely fall further or short positions will be extinguished,” he said.
