Bitcoin

Million

Drops

Billion

Trillion

Over a rough bearish period, <a href="https://coingape.com/price/bitcoin/" rel="noopener noreferrer nofollow">BTC price</a> has shifted from a bullish value of $71,656 in early June to the month’s low at $61,212. It has drifted more than 7% in the last few days and has impacted the performance of the other altcoins. A major impact has also been seen in its market capitalization of $1.2 Trillion after a 5% decline from yesterday. However, a surge in its network activity is present as the trading volume has recovered to $24.4 Billion after 206% gains.
The Bitcoin price has moved down the $62,200 support level and might continue to do so under the impact of lower lows and low highs patterns.
<a rel="noopener noreferrer nofollow" href="https://coinmarketcap.com/currencies/bitcoin/"><img src="https://coingape.com/wp-content/uploads/2024/06/image-2024-06-24T163405.523.png" alt="Bitcoin Price Analysis" width="674" height="320"></a>
In this blog, let us discuss the possible reasons behind this drop.
<h2 id="why-is-the-btc-price-dropping-continuously">Why Is the BTC Price Dropping Continuously?</h2>
Bitcoin’s downward push was higher this Monday as the price has dropped 5% in the last 24 hours due to uncertainty of key inflation data and the US interest rates. The concerns grew over the greenback (US paper dollar) getting closer to the two-month high purchasing managers index data. However, the feared sentiments about the US dollar might change around the upcoming <a href="https://coingape.com/crypto-market-pce-inflation-key-events-shape-investors-sentiment-this-week/" rel="noopener noreferrer nofollow">PCE inflation</a> data.
More importantly, there has been a continuous increase in the <a href="https://coingape.com/us-bitcoin-etf-records-545m-outflow-btc-dip-to-60k-imminent/" rel="noopener noreferrer nofollow">Bitcoin ETF outflows</a> since June 13, showing nervousness around the largest cryptocurrency. Additionally, the On Balance Volume (OBV) data has dropped beyond the support. As a result, has entered a distribution phase, hinting at downward movement.
<h3 id="btc-price-might-drop-as-low-as-60k">BTC Price Might Drop As Low As $60K</h3>
Bitcoin is in a selling zone where the <a href="https://coingape.com/glossary/macd-moving-average-convergence-divergnece/" rel="noopener noreferrer nofollow">MACD level</a> (12, 26) is at −1244. Also, the <a href="https://coingape.com/education/simple-moving-average-how-to-leverage-it-in-crypto-market/" rel="noopener noreferrer nofollow">simple and exponential moving averages</a> of the 5,10,20,50, and 100-day intervals are in the selling zone, favoring the ongoing decline. However, the SMA (200) indicates the presence of the bulls, which can be associated with price recovery. If the Bitcoin price could surge past the resistance levels of $63,500, an uptrend might begin, pushing the value as high as $6800.
However, as the rest of the technical factors and moving averages indicate, analysts believe the price might continue to decline to $60K before attempting a recovery. A crypto analyst, Willy Woo, posted about the BTC price recovery on X. As per his post, the recovery is possible with the weak miner die and the recovery in hash rate.
In a similar situation in 2017, the rate recovery took 24 days whereas, in 2020, it took around eight days, but this year, the miner capitulation is too long after the bitcoin halved because of the “ordinal inscription boosting profits.”
Continue Reading <a href="https://coingape.com/trending/this-crypto-trader-made-1-69-million-with-3300-in-15-days-insider-job/" rel="noopener noreferrer nofollow">This Crypto Trader Made $1.69 Million With $3,300 In 15 Days; Insider Job?</a>
The post <a href="https://coingape.com/trending/bitcoin-price-drops-below-62k-whats-behind-this-drop/" rel="noopener noreferrer nofollow">BTC Price Might Drop To $60K; Here’s Why</a> appeared first on <a href="https://coingape.com" rel="noopener noreferrer nofollow">CoinGape</a>.

BTC Price Might Drop To $60K; Here’s Why

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