Bitcoin Falls Below $56,000 For The First Time In A Month

Bitcoin has fallen for the first time in a month below $56,000 after almost 10 days of reaching a new all-time high. That means that since hitting $69,000 Bitcoin has already retraced by around 19%. Bears consider that the price of Bitcoin could continue falling while other investors believe that this could be a very attractive entry price. 

Bitcoin Falls Below $56,000

According to data shared by CoinGecko, Bitcoin has fallen close to 13.2% in the last seven days and it lost 6.2% of its price in the last 24 hours. This has pushed the entire cryptocurrency market lower that has registered 5.1% losses in the last 24 hours alone. 

All the top 10 cryptocurrencies are now registering losses. The worst performing crypto in the last 24 hours has been Solana (SOL) falling by 7.8%. If we move to the top 20, Crypto.com (CRO) and Shiba Inu (SHIB) lost 12.1% and 10%, respectively. 

According to the Crypto Fear & Greed Index, the market is now experiencing “fear” levels with a score of 34 points.

This shows that the market has moved from extreme good last month (82 points) to greed last week (74 points) and neutral yesterday (54 points). The market is currently expecting Bitcoin to continue moving lower in the near future, something that could eventually happen. 

However, many investors are expecting a new surge in Bitcoin before the end of this month. The cryptocurrency expert and analyst PlanB predicted Bitcoin to reach a price of $98,000. Nonetheless, Bitcoin would have to surge by 75% in just 10 days, which seems somehow difficult. 

Although cryptocurrencies are very volatile and everything can happen, it seems rather difficult for Bitcoin to register a price increase of 75% in just a few days. It might be possible for Bitcoin to stay close to these levels for some time before it continues to move higher. Periods of consolidation are very common for the largest digital asset, and they let the market get prepared for a new move higher. 

At the time of writing this post, Bitcoin is being traded close to $56,300 and it has a market valuation of $1.06 trillion. Meanwhile, Ethereum (ETH), the second-largest cryptocurrency in the world is being traded above $4,000 and it has a market cap of $481 billion and seems to be less affected than Bitcoin in the last 24 hours.

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