Market Cap
24h Vol
7051
Cryptocurrencies
76497
Markets
2021-01-12

Analysis of recent Bitcoin prices

Euphoria on the cryptic currency market was suppressed on January 11th, because most altcoins recorded a price drop of more than 20%, because the price of bitcoins sold out rapidly. 

After dropping below the support level of $40,000 on January 10, the pressure to sell Bitcoins (BTC) increased overnight and caused the price of the highest crypto currency to drop to $30,229 before the soft support level was reached.

The sharp drop in price led to the liquidation of more than $2.7 billion worth of futures, and the long candles on the Bitcoin price chart show that the liquidation cascade occurred quickly as the price fell from $41,000 to $32,229.

The traditional financial sector also came under pressure on Monday as the political situation in the United States continues to generate tensions and uncertainty about the country's future and economy.

Given that the price of Bitcoin rose from $17,586 on December 11 to $41,950 in less than a month, David Lifchitz, CIO in ExoAlpha considers this withdrawal as "a healthy correction by intelligent institutions that bought BTC from $20,000 on the way to $30,000.

According to Joshua Frank, president and founder of TheTie, an alternative social data analytics platform, the lack of mention of Bitcoin Twitter in December 2020 indicates that a small number of large investors were driving price increases.