Yesterday, the Bitcoin price broke up in June of 2020 for the second Time by 10%. This decline coincided with a significant crash of the Dow Jones Index. Is not uncorrelated to the Bitcoin rate so, how many more?
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Once again, the world’s largest crypto-currency Bitcoin looks to be at a level of$ 10,500 in with a large amount of resistance faced. On Thursday, the 11. June, a crashed the Bitcoin price already from 10,100$ 11% and fell to No. 9.012$. Although no clear explanation for this drop in the Bitcoin exchange rate could be found, correlated very strongly with the crash of the Dow Jones Industrial Average (INDEXDJX: .DJI), it crashed also on Thursday, in order of 6.90%.
This is the second Time this year that the Bitcoin exchange rate follows the traditional stock market. The first Time the stock exchanges and Crypto-Crash-in March of 2020 due to the COVID-19 pandemic. Yesterday’s incident was the second Time.
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The Bitcoin Crash with the Dow Performance?
The Bitcoin price plunged on Thursday by more than 10% shortly after the premarket data showed the Dow Jones has a value of 900 points. On Thursday, the Index with a Minus of 3% is opened, as the loss widened up to the end of the day, up to 7%.
Experts are of the opinion that you can not bring the decline in the Bitcoin price really with the market crash of Thursday in connection. Rather, it is the uncertainty in the entire asset class has led to the short-term BTC price crash. Apart from Bitcoin, other comparable Assets at the same time decreased. After the initial momentum in June the gold price declined on Thursday by 1%.
Directed the Bitcoin exchange rate specifically?
The Bitcoin exchange rate has, however, triggered the liquidation of some Long contracts on the futures market. In General, it is assumed that the recent sudden movements in the market is the result of targeted Peismanipulationen to liquidate regularly Short and Long contracts.
Therefore, one may argue that the Bitcoin price is currently in a Non-Trading Zone as price movements are hard to estimate. This makes trading with leverage is extremely risky and is more like a round of Roulette.
BTC Miner-Liquidation for a higher offer
After the last Bitcoin Halving in the last month, even the miners have played a crucial role in pulling the Bitcoin price down. Since the rewards of the Miner have been reduced to half and, therefore, their profitability has fallen sharply, to liquidate all of the Miner that mined before the halving massive BTC, systematically your BTC holdings.
The most recent data from the byte tree also show that the Miner have recently sold for more than what you abgebauen daily.
What’s next for the Bitcoin exchange rate?
Now, since the Bitcoin exchange rate repeatedly didn’t manage to overcome its resistance of$ 10,500 in, the market participants are still uncertain about what could be the next step. On the lower side of 9,100$ – 9.300$ remain a strong support for the Bitcoin price. Michael van de Poppe, a full-time trader on the Amsterdam stock exchange, in terms of the short-term Trends from the Bitcoin exchange rate optimistic. He said:
If we have$ 10,000 to break through, the next level is$ 10,500 in. If we have$ 10,500 in break through the next level at 11,500$ – 12.000$. The crucial level to keep it: 9.100$ – 9.300$.
Mohit Sorout, a founding partner of Bitazu Capital, says that the Bitcoin exchange rate could soon experience a breakout from its two-year cycle.
Time for $btc to breakout within ~7 days. pic.twitter.com/U9qZJRQTCZ
— Mohit Sorout ? (@singhsoro) June 10, 2020
The fact is that the Bitcoin exchange rate has remained this month has been very volatile. On 7. June, the Bitcoin price fell to a level of 9,300$. Soon, three days later, on 10. In June, he recovered back to over$ 10,000. It is a nerve zerreibendes remains up and down.
Read also: Bitcoin exchange rate shows the same phase of consolidation, which has led to 2019 to the price rally of 9,000 for$ 13.800$
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The comments in this article do not represent any trading recommendations or investment advice.