1 year ago
Bitcoin (BTC) fell astatine the Dec. 22 Wall Street unfastened arsenic United States equities reversed erstwhile gains.
BTC/USD 1-hour candle illustration (Bitstamp). Source: TradingViewBitcoin risks caller and unseen "death cross
Data from Cointelegraph Markets Pro and TradingView showed BTC/USD dipping to intraday lows of $16,650 connected Bitstamp.
The brace remained a conspicuous stocks copycat arsenic the S&P 500 opened down 1.6% and the Nasdaq Composite Index traded down 1.8% astatine the clip of writing.
The weakness appeared to beryllium a absorption to stronger-than-expected U.S. gross home merchandise (GDP) maturation successful Q3, information for which was released anterior to the open.
Despite notionally a motion of recovery, concerns focused connected the Federal Reserve continuing its restrictive economical argumentation connected the presumption that the system would beryllium capable to withstand the measures.
This would notionally travel successful the signifier of longer-lasting involvement complaint hikes, with investigation already arguing that a “pivot” successful argumentation was improbable until 2024 astatine the earliest.
As such, hazard assets saw nary alleviation from the GDP print, further disappointing traders hoping for a Santa rally.
“Clear bearish retest. Downtrend intact,” trader and expert Il Capo of Crypto commented connected the regular S&P 500 chart.
Il Capo of Crypto warned earlier this week that markets arsenic a full were “not prepared” for what would beryllium caller upcoming losses.
On Bitcoin, the temper among immoderate pundits was likewise firmly bearish.
Bleeding Crypto highlighted a never-before-seen “death cross” involving the 50-day and 200-day exponential moving averages (EMA) present due.
BTC/USD annotated chart. Source: Bleeding Crypto/ TwitterDaan Crypto Trades meantime drew attraction to the yearly close, this apt to go Bitcoin’s 3rd antagonistic twelvemonth ever.
“The percent nonaccomplishment this twelvemonth is sitting close successful betwixt the different 2 antagonistic years, being 2014 and 2018,” helium noted.
BTC/USD annotated chart. Source: Daan Crypto Trades/ TwitterElsewhere, expert Toni Ghinea had small optimism successful store for Bitcoin bulls, arguing that the macro bottommost would not look until Q1 2023.
“Capitulation to 11-14k. Bottom successful Q1 2023. Expecting the last determination down soon,” a tweet read connected the day.
BTC/USD annotated chart. Source: Toni Ghinea/ TwitterDollar seeks comeback aft GDP print
The main beneficiary of the GDP print, meanwhile, was the U.S. dollar, which connected the time saw assured rebound successful strength.
Related: Bitcoin debased measurement sparks BTC terms informing arsenic metric hits ‘value zone’
The U.S. dollar scale (DXY) circled 104.5 astatine the clip of writing, up from lows of 103.75 from earlier the open.
The greenback frankincense went immoderate mode to recovering losses engendered by a surprise intervention by the Bank of Japan earlier successful the week.
U.S. dollar scale (DXY) 1-hour candle chart. Source: TradingViewThe views, thoughts and opinions expressed present are the authors’ unsocial and bash not needfully bespeak oregon correspond the views and opinions of Cointelegraph.
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