Bitcoin, Jerome Powell Comments Weak... Altcoin Falls Deepen

Powell's FOMC press conference pours 'cold water' on Trump's crypto roadmap
BTC and altcoins plummet... Bearish market due to cascading liquidations in the futures market
Despite inflow of buy-side pressure in the afternoon, altcoins failed to recoup their losses

Bitcoin (BTC) fell on the 19th due to remarks by Jerome Powell, Chairman of the US Federal Reserve (Fed), which poured 'cold water' on the 'crypto dream' of Donald Trump.

At the press conference following the FOMC meeting, Powell announced a 0.25%p rate cut, but poured cold water on Trump's roadmap, which had predicted a reduction in rate hikes next year and hinted at the strategic asset-ization of Bitcoin. When asked about the Fed's plan to accumulate Bitcoin as a strategic asset, Powell replied that "the Fed cannot hold Bitcoin under the law" and that "it will not pursue a law change either".

Bitcoin, which had been setting new highs daily with Trump's declaration of support for Bitcoin, plunged from $104,000 to $101,000 along with Powell's press conference.

The sharp drop in Bitcoin led to massive cascading liquidations in the cryptocurrency futures market, causing the cryptocurrency market to plummet sharply in the morning of the 19th. According to data from on-chain analysis platform CoinGlass, the total liquidation in the cryptocurrency futures market over the past day was about $682.08 million (about 990.9 billion won). The number of futures investors who experienced forced liquidation was estimated at around 241,068.

After the sharp drop in the morning, buy-side pressure flowed in at low prices in the afternoon, and the cryptocurrency market attempted a rebound, but most altcoins failed to recoup their losses, except for Bitcoin crossing $100,000.

◇Bitcoin = As of 4 pm on the 19th, the Bitcoin price on Upbit was 15,159 million won. Bitcoin's market dominance was 58.20%.

According to on-chain analysis platform Sygbit, the long (bullish) and short (bearish) betting ratio in the Bitcoin futures market was 56.81% and 43.19%, respectively.

As Bitcoin fell at the mere mention of Powell, experts expressed a somewhat cautious outlook on Bitcoin's bullishness. They say that one should not blindly expect a rosy future.

David Lawant, head of research at cryptocurrency brokerage Falcon X, said, "It's not at all surprising that the pace of rate hikes next year will slow, but risk assets are under pressure. Macroeconomic factors usually affect cryptocurrency prices, and with policy changes expected from the new administration, industry factors are more likely to drive the market in the coming months."

◇Rising Coin = The cryptocurrency that recorded the largest increase compared to the previous trading day on Upbit as of 4 pm on the 19th was UXLink (UXLINK), which rose about 27%.

UXLink is building a Web 3.0 social platform where users can participate, guaranteeing users complete ownership and privacy of their data, identity, and social connections. It aims to serve as a bridge connecting Web 2.0 and Web 3.0, overcoming the limitations of existing social platforms.

It supports various dApps and services for users to engage in group-based activities, and provides various APIs and SDKs for developers to utilize user social data. Users can easily create a UXLink account and invite acquaintances using existing social media accounts such as Telegram. The native token of UXLink, UXLink, is used as a means of payment and for governance within the platform.

◇Fear and Greed Index = The Cryptocurrency Fear and Greed Index provided by Alternative is at 75 points, entering the 'Greed' stage. The Greed stage is a period of high price volatility and trading volume, where prices are rising. There is a high possibility of forming a short-term peak, so caution is required when selling.

The Cryptocurrency Relative Strength Index (RSI) provided by Sygbit is 40.6, recording a 'neutral' state. RSI measures the relative strength of the upward and downward pressure on the price of a specific asset, indicating the degree of overbought and oversold of the asset.