Bitcoin (BTC) hit new weekly lows on Sept. 28 as the decline in risk assets continued overnight.
Trader: “First New Lows” Ahead of Q4 Rally
Data from Cointelegraph Markets Pro and TradingView showed that BTC/USD fell to $18,461 on Bitstamp, down almost $2,000 from the previous day’s high.
The change of address occurred at the same time as the actionswhich turned red after rising slightly at the open on Wall Street.
The S&P 500 and the Nasdaq Composite Index ended the day down 0.25% and up 0.25%respectively.
Nevertheless, Cryptocurrencies failed to recoup their losses and while Q4 was expected to bring a stronger recovery, traders bet the pain will continue first.
In the comments, he added that he “expected a bullish fourth quarter. But first new lows.”.
Your partner and analyst Rekt Capital pointed out the hurdles bitcoin needed to overcome on monthly time frames.
“There is already a strong rejection of BTC at the green level of approximately $19,800”, wrote in a tweet on the next monthly candle close.
“A continued swing at and around this level is to be expected as BTC approaches its Monthly Close. The most important thing will be how the Monthly Candle actually closes relative to the green range low.”
Rekt Capital added that a close below that green line would mean an exit from the monthly range in place since the end of 2020.
Bet on the withdrawal of the bears
In discussing when the 2022 bear market might end, opinions differ on the use of data from previous halving cycles.
When uploading a comparison chart, Luke Martin, host of the STACKS Podcast, he pointed that 322 days had passed since bitcoin’s last all-time high of $69,000.
After the previous all-time high of 2017, the BTC/USD pair spent 364 days in a bear marketsuggesting that the end could be near if history repeats itself.
“The timing of the cycle here is optimal,” reacted Charles Edwardscreator of the Capriole crypto asset manager.
Others were less convinced, such as tedtalksmacro, who drew attention to the fact that the macro environment was nothing like it was in 2018.something that Martin recognized.
As Cointelegraph reported, the US Federal Reserve has not committed to stopping interest rate hikes that are pressuring risky assets, including cryptocurrencies, this year.
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