A crypto market correction on October 10 pulled down token prices, but Bitcoin’s recovery to $60,000 poses a favorable scenario for the near term.
Bitcoin and other crypto tokens have taken a beating in prices in the last 24 hours. Most of this downtrend has transpired from a crypto market correction on October 11. The correction has led to price dips in major crypto tokens. BTC had almost gone down to $58,000, while ETH had slid to $2,300. However, a slight recovery in BTC’s price to $60,000 has been a ray of hope for bulls.
In hindsight, a couple of factors could have led to the price decline in the crypto market.
The first could be the monthly CPI data of the US, which hinted that inflation had declined. Since it may result in a pause in interest rate cuts, the market has taken a negative cue from it. A wave of BTC liquidations took place since the sentiments turned negative.
Second, there has been a steady rise in the flow of BTC to exchanges. This mostly happens when traders and investors are looking to dump the tokens to book profits. Moreover, this could be a possibility since BTC has been on an upward spiral since September this year.
One could only expect a further rebound in crypto tokens once market sentiments improve. It could occur if BTC holds $60,000.
BTC/USD 1D price chart
Bitcoin is currently trading at around $60,800 on October 11, 2024, with BTC/USD trading higher by a margin of around 0.5% in the last 24 hours. Bitcoin’s market cap was trading at around $1.2 trillion in the last 24 hours.
BTC/USD is trading lower than its 20-day EMA (around 62,000), as BTC’s 24-hour volume was at approximately $30 billion. The global crypto market cap decreased by around 1.7%, trading above $2.1 trillion. BTC’s year-to-date returns are above 45%.
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