{"id":153863,"date":"2023-09-12T01:40:42","date_gmt":"2023-09-11T20:10:42","guid":{"rendered":"https:\/\/dripp.zone\/news\/?p=153863"},"modified":"2023-09-12T01:40:42","modified_gmt":"2023-09-11T20:10:42","slug":"bitcoin-price-dips-below-25k-opportunity-or-a-sign-of-incoming-calamity-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/bitcoin-price-dips-below-25k-opportunity-or-a-sign-of-incoming-calamity-crypto-news\/","title":{"rendered":"Bitcoin price dips below $25K \u2014 Opportunity, or a sign of incoming calamity? – Crypto News"},"content":{"rendered":"

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Bitcoin stands at the edge of a bearish breakdown, with a small possibility that the $25,000 support level could hold.<\/p>\n

On Sept. 11, Bitcoin (BTC<\/a>) broke from its parallel range between $25,500 and $26,500, falling to an intraday low at $24,950. A daily close below $24,750 threatens a drop to the sub-$20,000<\/a> range, but there’s a slight chance that the bullish momentum could revive.<\/p>\n

According to pseudonymous trader Horse, Bitcoin at $25,000 presents a short-term buying opportunity as it’s the \u201cbest area to trap sellers\u201d and \u201carguably the best place for long contextual\u201d risk to reward ratio.<\/p>\n

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I feel like the chances that the market smokes this level after the first major test is slim. <\/p>\n

Seems like the best area to trap sellers, and arguably the best place for long contextual R:R<\/p>\n

I’ll catch a falling knife. pic.twitter.com\/eFNMzBCPJW<\/a><\/p>\n

\u2014 HORSE (@TheFlowHorse) September 11, 2023<\/a><\/p><\/blockquote>\n

The price action in global markets and on-chain indicators tapping historical lows could give buyers hope that a positive trend could thrive.<\/p>\n

Is DXY tapping out? <\/h2>\n

Bitcoin tends to maintain a negative correlation<\/a> with the U.S. dollar and a positive correlation with stocks.<\/p>\n

On Sept. 11, when the S&P 500 and Nasdaq stock market indices were trading higher, the US dollar index was falling.<\/p>\n

The dollar index (DXY) against other global reserve currencies is tapping its long-term range high levels around 104.8 points, hinting at the possibility of a negative price reversal. A bearish dollar could add tailwinds to Bitcoin\u2019s price.<\/p>\n

Daily chart of the DXY index. Source: TradingView<\/em><\/figcaption><\/figure>\n

The U.S. Consumer Price Inflation (CPI) print on Sept. 13 will likely provide a decisive direction to the global markets.<\/p>\n

Bitcoin traders could secure profits at $26,000<\/h2>\n

According to the latest report<\/a> by on-chain analytics outlet Glassnode, the Bitcon\u2019s price drop over the last few weeks has caused several metrics to tap historical lows.<\/p>\n

The current market conditions are characterized by low liquidity and low trading volumes<\/a>. While this complicates bulls\u2019 ability to push BTC price through multiple resistance levels, long-term holders could start to accumulate as bullish hype cools down.<\/p>\n

According to Glassnode: <\/p>\n

\u201cRealized Profit and Loss are similarly at levels equivalent to the 2020 market, highlighting what is arguably a complete and total wash-out of the exuberance from the 2021 bull market.\u201d<\/p><\/blockquote>\n

Moreover, Bitcoin\u2019s negative price action since mid-August has seen a \u201cvast majority\u201d of short-term supply plunge \u201cinto an unrealized loss\u201d which could act as a potential short-term reversal level.<\/p>\n

Bitcoin\u2019s short-term holder supply in profit metric. Source: Glassnode<\/em><\/figcaption><\/figure>\n

However, Glassnode also noted that \u201cvolatility, liquidity, trade volumes and on-chain settlement volumes are at historical lows,\u201d which has pushed the market into \u201cextreme apathy, exhaustion, and arguably boredom.\u201d<\/p>\n

Related:\u00a0GBTC \u2018discount\u2019 hits smallest since 2021 despite BTC price at 3-month lows<\/a><\/em><\/strong><\/p>\n

Thus, a lot of sellers may arrive in case of a bullish reversal, especially near the break-even level of short-term buyers around the $26,000 level.<\/p>\n

Combined, the price action of the DXY and on-chain data suggest that buyers could return sooner than expected, making the current price action a potentially lucrative opportunity to open Bitcoin longs.<\/p>\n

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.\n<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Bitcoin stands at the edge of a bearish breakdown, with a small possibility that the $25,000 support level could hold. On Sept. 11, Bitcoin (BTC) broke from its parallel range between $25,500 and $26,500, falling to an intraday low at $24,950. A daily close below $24,750 threatens a drop to the sub-$20,000 range, but there’s […]<\/p>\n","protected":false},"author":2,"featured_media":153864,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[235,203,210,234,231,232,237,238,236,233],"class_list":["post-153863","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blockchain","tag-bitcoin","tag-crypto-currency","tag-elon-musk","tag-ethereum","tag-hyperledger","tag-ibm","tag-mining","tag-nodes","tag-spacex","tag-tesla"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/153863","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=153863"}],"version-history":[{"count":2,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/153863\/revisions"}],"predecessor-version":[{"id":153866,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/153863\/revisions\/153866"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/153864"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=153863"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=153863"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=153863"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}