The 10th of January, Bitcoin (BTC) fell below the $ 40,000 mark for the first time since September 2021, compounding a decline that began six weeks ago.
Bollinger bands intervene
Data from Cointelegraph Markets Pro and TradingView showed that The BTC / USD pair encountered predictable volatility as the bears finally managed to push the market back into the $ 30,000 zone.
The move had long been anticipated, and forecasts even pointed to an identical bottom to July, just below $ 30,000.
“And we are diving into the $ 40,000 region for Bitcoin, so the fear will only accelerate further,” reacted. Michaël van de Poppe, Cointelegraph contributor.
For the trader and analyst Rekt Capital, the first support point is at the bottom of the two Bollinger bands for the BTC / USD, with the spot price currently “very close” to it.
– Rekt Capital (@rektcapital) January 10, 2022
For his part, fellow trader and analyst Scott Melker highlighted the emergence of increasing bullish divergences, going long on BTC at $ 39,800.
“People are considering partially selling right now as they expect the markets to keep falling,” added Van de Poppe in other comments.
“Along with that, most people are assuming we’re just going to go down, given that the bearish thesis is currently the main stage.”
At press time, Bitcoin was back above $ 40,000 as the market tried to find support levels.
Ethereum loses the $ 3,000 mark as liquidations rise
Analyzing the exchanges, Data from on-chain analytics resource Coinglass showed settlements reaching $ 120 million in a single hour among cryptocurrency pairs.
Bitcoin made up about a third of the figure, with total BTC liquidations in the past 24 hours hovering around $ 90 million.
Meanwhile, altcoins joined the modest panic, with Ether (ETH) dropping below $ 3,000 for the first time since early October.