After rehearsing for another recovery to $ 60,000, the price of Bitcoin (BTC) did not find support and fell again by more than 8% taking the cost of the main cryptocurrency market for less than $ 54,000.
Analysts point out that the drop was caused primarily by the discovery of a new variant of the potentially vaccine-resistant coronavirus, and indicate that the fix will be function as a rest for the bulls, which must come back refreshed to push BTC to new highs.
Martha Reyes, Head of Research at BEQUANT, noted that the market decline was already expected, stressing that the low liquidity observed recently in the market, together with The maturity dates of the $ 3 billion BTC options were the peak issue adding about $ 58,000 to volatility.
Reyes, however, points out that traders need to keep an eye on the $ 53,000 level in the short term. which acts as fundamental support since that is where the base of short-term costs is.
Yes Ruud Feltkamp, CEO yes Cryptohopper, indicates that the fall was no different from what happened countless times, and that nothing can go up without stopping. So the recent low rather than a change in direction, it was a confirmation of a new high.
“On the other hand, inflation is skyrocketing and people are looking for alternatives to their money in the bank. I don’t think it will be long before investors see this “cheap” buying time. We are still in the middle of a bullish cycle and I think that rising inflation will lead to more money going to stocks and cryptocurrencies, ”he said.
Bitcoin is losing market dominance
However, for the analyst team at Transfero which even in June indicated that the price of BTC was about to hit an all-time high above $ 65,000, which actually happened in October, highlighting that Bitcoin is losing its dominance in the market and thus altcoins stand out.
According to Transfero, the Bitcoin adjustment shows that the main cryptocurrency on the market may be losing momentum. According to the company’s analysis, the support of $ 57,200 was broken, but without volume, which meant that in the seven days ending November 25, when the valuation was made, the price remained above this level again. …
“This is a good sign as it shows that the trading volume in this range was large and the bulls were ahead of the bearish ones,” analysts say.
According to the Transfero team of specialists, one can see that the market is in a lateralization zone, in which prices range from 55.2 thousand to 60.1 thousand US dollars.
“It is possible that BTC will move in this range in the coming days as the movement of altcoins gains momentum. It is even possible that a breakout of this range may occur, as a result of which the price will reach the support of $ 51,200, ”analysts say.
The company also emphasizes that it is important to note that the Fear & Greed Index was down 22 points from the previous week, reaching 32 points. These investor concerns have opened up new buying opportunities, according to Transfero.
Bitcoin horses, altcoins sobem
In addition, analysts at the company note that as the dominance of bitcoin has declined significantly, this indicates an increase in the altcoin market, especially gamecoins, cryptocurrencies associated with games for money, and cryptoassets associated with the metaverse.
Highlights included currencies in the ‘gaming’ category such as the GALA, which has risen more than 200% in the last seven days (considering the period from 18 to 25 November), and the metaverse app, as was the case with MANA (Decentraland), which grew by more than 40% over the same period, ”he notes.
Also, according to Transfero, one of the most promising games of the next few years, Star Atlas, follows the “play to make money” model on Solana’s blockchain, promising to revolutionize the sector with stunning graphics. Game objects are NFTs that can be traded through a token. ATLAS…
The company indicates that the token POLICE will also be part of this ecosystem and token holders will have a say in game development discussions.
“It is worth noting that between November 18th and 25th, the token reached its all-time high in market capitalization, exceeding $ 425 million, with an increase of more than 50%,” he concludes.
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