The leading cryptocurrency returned over the weekend and for a few hours to levels of two months ago and is moving away from the bullish position it maintained during the first part of the year.
Bitcoin closed its worst week since November. The leading cryptocurrency returned over the weekend and for a few hours to levels of two months ago and is moving away from the bullish position it maintained during the first part of the year. According to Coin Metrics, Bitcoin reached its lowest level since March 17 to exceed $25,800. However, as the hours went by, it recovered and this Monday, May 15, it is held above US$27,000. The rest of the cryptocurrencies operate with slight increases of up to 2% led by BTC, followed by Polygon (MATIC).
In the quarter, the good trend continued, with gains of 25% and, so far this year, the advances of Bitcoin in the market consolidate a 62.4% improvement.
Why is Bitcoin falling?
The truth is that this fall, in addition away from the good trend experienced by the companies of the Nasdaq, encouraged by the drop in inflation in the United States, which initially also accelerated the rise in Bitcoin. But beyond its technical aspect, experts speak of a liquidity problem.
In terms of capitalization, Bitcoin also gains positions in the world ranking, basically due to its falls, but also due to the improvement in the Nasdaq values in the last weekwhich places Bitcoin with a value of 520.250 million dollarsbetween Testa and the French luxury goods company Louis Vuitton Moët Hennessy, LVMH and ranks 12th. Regarding its position in the market, in a global cryptocurrency market that is generally rising, It also lowers its dominance to 44.4%.
In addition, regarding the fear and greed index, in the image we see how you lose clear positions and go directly from the greed level to 64 last week at 48 in neutral right now, while moving away from its best annual levels marked last month at 68.
A market that also has problems absorbing buy and sell orders that are relatively large, always marked, as is the usual trend among cryptocurrencies, due to the great volatility they present. And it is that Bloomberg indicated that Jump Crypto and Kane Street, which are two of the largest market makers, are going to position themselves downward in the United States as regulation on cryptocurrencies increases in that country.
We have also seen how in the last week despite the falls of the big ones, including Bitcoin, it has been crazy in the case of some memes, such as that of Pepe Coin with advances that have exceeded 8,000% or Turbo Coin, Spongebob, or No Meme, of course in the latter with Elon Musk in the middle and its rise of 700% after an hour and a half after its launch.
Source: Ambito
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