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Highlights
- On 21 July, Bitcoin was trading at US$22,917.43 with a volume of US$43,20,82,44,008 over a day, according to CoinMarketCap.
- Bitcoin was down by 2.45% at 8:30 am (GMT +1) on 21 July.
- The crypto market cap stood at US$1.02 trillion, with a total trade volume of US$96.09 billion in the past 24 hours.
In the last one week, Bitcoin had steadily climbed out of its bearish lows to maintain a rally of over 13%. Many market participants were anticipating that Bitcoin would rise from here and may breach the first resistance level of US$25,000.
But crashing all expectations, Bitcoin on 20 July hit a bump in the road slipping below the US$24,000 mark, dragging the whole crypto market down with it by over 4.75% in the past 24 hours.
The overall crypto market cap stood at US$1.02 trillion, with a total trade volume of US$96.09 billion in the past 24 hours, as per CoinMarketCap.
The Bitcoin token on Thursday was trading at US$22,917.43 with a volume of US$43,20,82,44,008 over a day, according to CoinMarketCap. Bitcoin was down by 2.45% at 8:30 am (GMT +1). The BTC had a live market cap of US$4,37,70,27,85,351, with a circulating supply of 1,90,99,125 BTC coins.
Bitcoin’s loss
Bitcoin was stopped in its tracks primarily due to the news of Tesla selling 75% of its Bitcoin holding, which took the most popular crypto down. Tesla’s Q2 report indicated a shaky end as the electric car maker’s profit dropped by 32% as it struggled to meet the demand due to the shutdown of its Shanghai-based factory.
This was done to maximise Tesla’s cash positions owing to the uncertainty of China’s lockdowns. This has created a frenzy-like situation, with most cryptos witnessing red.
If we take a look at BTC’s current charts, it will reveal that the momentum is slipping from BTC’s end.
Image Credit: Trading View
On 21 July, the RSI of the Bitcoin stood at 58.18 during intraday trading. However, the RSI line showed a slight downslide following the news.
However, the MACD line didn’t indicate an immediate impact as it still had its nose high ahead of the signal line, suggesting that the momentum, even though slowed, is on the track as of now.
Even the EMA 100-days and 200-days seem to resonate with MACD indicators, suggesting that Bitcoin prices may touch US$27653.83 and US$33376.19 during the same period.
However, the important thing here is that for this to happen, the momentum has to increase or steady itself and not witness any fall going forward.
Image Credit: Trading View
The Bollinger Bands of the Bitcoin, which showed the gap narrowing, seemed to be expanding on 21 July, indicating volatility in the token.
Bitcoin’s drop has undoubtedly affected the market, but it’s essential to realise that one shouldn’t invest in haste. One must ensure that he or she studies the market, trends, and past records before taking investment calls.
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