Bitcoin price drops below $20,000

Bitcoin price drops below ,000

The price of bitcoin (BTC) dipped below $20,000 again on June 29 as analysts remained hopeful for a trip higher.

BTC/USD 1-hour candlestick chart (Bitstamp). Source: TradingView

Traders look for support at $19,500

Data from Cointelegraph Markets Pro and TradingView recorded that BTC/USD crossed below the $20,000 mark for the first time in nearly a week in Asian trading hours.

The weakness followed range-bound behavior near $21,000, characterizing a market still in tune with global equity moves..

The S&P 500 had ended its previous session down 2%, while the Nasdaq Composite Index lost 3%. On the day, Hong Kong’s Hang Seng was also down 2.1%, while China’s Shanghai Composite Index traded 1.4% lower..

With few bullish signs coming from the macroeconomy, bitcoin could not avoid revisiting the lower end of a range that has been in place for several weeks.

“Bitcoin is giving that correction. I was anticipating a potential low at $20,300,” Cointelegraph contributor Michaël van de Poppe wrote. part of his last twitter update bitcoin-centric.

“We hit $20,100 which is the second major level… We would like to see it hold here and see additional confirmation on LTF. If it doesn’t, the $19,300-19,500 level would be the next support.”

By expanding the scope, other sources remained optimistic about the possibility of reaching resistance higher.

For the Material Indicators on-chain analytics resource, this could still come in the form of a challenge to the 200-week moving average, a key bear market support level, which had started to function as resistance in June.

Stocks continue to slide

Focusing on the macro, commentators argued that with little certainty about available economic strength, risky assets like cryptocurrencies would continue to suffer over longer time frames.

Read:  "Fear" returns to Bitcoin market as long-term investors hold their ground

The mood followed Big Short investor Michael J. Burry’s prediction that the US Federal Reserve would abandon its inflation-fighting quantitative tightening (QT) policy in 2022 and return to more accommodative conditions..

“Deflationary pulses from this –> CPI disinflation later this year –> Fed reverses rates and QT –> Cycles”says part of a Tweet published on June 27.

Therefore, only a clear bonanza for risk assets would allow bitcoin and altcoins some slack, the popular TXMC Trades Twitter account responded, and this outlook echoed the opinions from various commentatorsincluding former BitMEX CEO Arthur Hayes.

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