Bitcoin Price Crashes To $19,000, But Stays Strong Against Other Assets

The Bitcoin terms has acquisition volatility implicit today’s trading league arsenic the cryptocurrency rallied to the $20,000 level. Across societal media platforms, immoderate marketplace participants celebrated the bullish terms action, but they went soundless arsenic BTC stumbled backmost into its range.

At the clip of writing, the Bitcoin terms trades astatine $18,900 with a 1% and 3% nonaccomplishment implicit the past 24 hours and 7 days, respectively. The benchmark cryptocurrency has been moving sideways trading successful a scope betwixt its existent levels and $19,500.

BTC’s terms moving sideways connected the 4-hour chart. Source: BTCUSDT Tradingview Bitcoin Price Stuck In A Range As Global Currencies Trend Downwards

Despite this sideways terms enactment and a persistent downside inclination crossed 2022, the Bitcoin terms has outperformed different assets successful the bequest fiscal sector. According to a report from the New York Times, the cryptocurrency has been trading “slightly” successful the greenish portion large currencies and indexes grounds losses.

As the Bitcoin terms moves backmost and distant from $20,000, the Nasdaq 100 records a 10% nonaccomplishment successful September. Over the past 30 days, the British Pound from the United Kingdom (GBP), the Euro from the European Union (EUR), the Japanese Yen (JPY), and different planetary currencies person been traded successful the reddish arsenic BTC moves sideways.

In the past year, these currencies grounds an 18% to 23% nonaccomplishment against the U.S. dollar. The GBP is 1 of the worst performers implicit the past fewer days arsenic the currency approaches parity with its American counterpart, portion the Euro tanked and moved southbound from its parity with the USD.

EUR losing parity with the U.S. dollar and trading astatine a multi-decade debased connected the 4-hour chart. Source: EURUSD Tradingview

In the meantime, the U.S. dollar has moved into levels past seen implicit 20 years agone arsenic macroeconomic uncertainty, and an summation successful involvement crossed the satellite enactment a risk-off sentiment crossed planetary fiscal markets. These investors question refuge successful the world’s reserve currency.

On the Bitcoin terms show compared to planetary currencies and the U.S. dollar, BTC bull Michael Saylor wrote:

Over the past twelvemonth currencies person collapsed against the dollar:

CAD -8%, CNY -9%, AUD -11%, ZAR -17%, KRW -18%, EUR -18%, PLN -21%, GBP -22%, JPY -23%, TRY -52%

Over the past 4 years the dollar has collapsed -67% against #bitcoin.

— Michael Saylor (@saylor) September 26, 2022 

Bitcoin Liquidates Leverage Shorts And Longs Positions

As the planetary economical conditions that are strengthening the U.S. dollar are inactive successful play, Bitcoin seems poised to determination sideways distant from terms discovery. On little timeframes, a pseudonym trader recorded a spike successful Open Interest (OI) implicit today’s trading session.

As precocious leverage players got taken retired with today’s abrupt determination to the upside and instrumentality to the existent levels, the Bitcoin terms seems poised to determination sideways for the clip being. However, arsenic NewsBTC reported, the marketplace mightiness spot further volatility during this month’s candle close.

Bitcoin’s short-term trajectory volition proceed to beryllium determined by the show of bequest fiscal markets with the Nasdaq 100 and S&P 500 playing a captious role. The second is hanging by a thread with the imaginable for further downside into the regular close.

The S&P 500 is inactive hanging connected and trying to crook affirmative connected the day.

Today’s adjacent volition beryllium key.$SPY $SPX pic.twitter.com/WIlQme2kim

— Justin Bennett (@JustinBennettFX) September 27, 2022