Bitcoin Enters the Deepest Phase of the Current Bear Cycle as Price Slips to an 18-Month Low

After briefly slipping to the $21K zone, Bitcoin (BTC) continues to commerce at ranges final seen in December 2020.

The main cryptocurrency was down by 9.94% within the final 24 hours to hit $22,668 throughout intraday buying and selling, based on CoinMarketCap. 

Glassnode believes BTC is coming into the deepest a part of the current bear cycle, provided that even long-term holders are experiencing losses. The market perception supplier explained:

“With Bitcoin prices promoting off to the mid-$20ks, a plethora of macro indicators recommend the market is coming into the deepest section of this bear cycle. Fundamentals have deteriorated, and even Lengthy-term Holders are actually realizing vital losses.”

Is Bitcoin at all-time low?

The highest cryptocurrency can also be hovering across the 200-week shifting common, which is indicative of a market backside, based on crypto analyst Lark Davis. He noted:

“The 200 week shifting common for Bitcoin has marked earlier bear market bottoms.”

Supply: TradingView/LarkDavis

This indicator displays a long-term measure that reveals 4 years of an asset’s value motion. 

Subsequently, it stays to be noticed whether or not Bitcoin will backside out and alter course as a result of the 200-week shifting common zone has beforehand acted as a reversal level.

On-chain perception supplier Coinglass stated:

“In every of its main market cycles, Bitcoin’s value traditionally bottoms out across the 200 week shifting common.”

Different analysts have additionally joined the dialogue and opined that Bitcoin is likely to be edging nearer to the market backside.

As an example, market analyst Ali Martinez said:

“Bitcoin has formally gone from Greed to Denial, from Denial to Anxiousness, and from Anxiousness to Worry. BTC has now entered Capitulation, which normally tends to kickstart a brand new market cycle based mostly on the NUPL indicator. Which means that the BTC market backside is nearer than ever.”

Supply: CryptoQuant

Related sentiments have been echoed by crypto dealer Rekt Capital, who noted:

“BTC is approaching RSI ranges final seen on the 2015 & 2018 Bear market bottoms.”

Supply: TradingView/RektCapital

Bradley Duke, the Co-CEO at crypto ETP-provider ETC Group, famous that the latest LUNA collapse despatched shockwaves in the complete ecosystem and that is what’s partly inflicting the market to bleed, Blockchain.News reported. 

With the crypto markets being in excessive worry mode, time will inform how issues form up shifting ahead.

Picture supply: Shutterstock