Bitcoin price and other cryptocurrencies yet to break out of downtrend as BTC struggles at $36,000 region
Bitcoin price and other cryptocurrencies experienced a dismal weekend as prices continued to move sharply in the downward direction. From around $ 37,000 but BTC once dropped to just $ 35,000 and is still around $ 36,600.
BTC/USD 4-hour chart | Source: TradingView
Bitcoin price has not yet broken out of the downtrend
Bitcoin failed to break out of $36,386, given its high volatility. The reason is probably due to concerns about a possible further crackdown on the crypto sector in China and following an announcement from Goldman Sachs Group Inc. as a reminder that getting institutions to accept cryptocurrencies will be a long process.
This morning, Bitcoin dipped to just $35,335 but has since reversed consecutive gains, stabilizing at $36,653.
Rich Ross, the technical strategist at Evercore ISI, thinks Bitcoin remains vulnerable to a test of key support at $29,000 with a risk of a drop to $20,000.
Contributing to Bitcoin’s further weakness is information from Goldman Sachs that not all investment funds are eager to participate in the crypto market.
The strategic analysis team of Goldman Sachs, led by Timothy Moe, said:
“We held two sessions of CIOs earlier this week, attended by 25 CIOs from various hedge and long-term funds.”
Goldman Sachs survey results on CIO’s interest in cryptocurrencies
Jonathan Cheesman, a leader of FTX, said:
“Uncertainty about China’s crypto regulations is still impacting the market/ So far, the market has been fairly fragmented, mostly with retail involvement.”
Bitcoin has lost more than $25,000 since hitting a recent record high and is currently trading around $36,000. Even so, the coin has appreciated around 25% this year.
There has been a piece of positive news with this coin. Accordingly, El Salvador is seeking to enact legislation to become the first sovereign country in the world to accept Bitcoin as a legal currency.
In addition, the President of El Salvador just confirmed that citizens won’t pay capital gains tax on Bitcoin.
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