Bitcoin Falls Below $ 60,000! Over the past 7 days, most cryptocurrencies have fallen by at least 10%.

Recently, the price of Bitcoin fell below $ 60,000 to its lowest level in three weeks due to investor concerns over the taxation of the US cryptocurrency market etc. Cryptocurrencies have also returned to unison. Major cryptocurrencies have fallen by at least 10% in the past 7 days. However, most analysts believe the downtrend is short-lived.

Freddie Evans, real estate broker at UK digital real estate broker GlobalBlock, said there have been a number of recent declines, including a strong financial market and legal requirements in the United States. However, this decline will not last as long as there are indications that the cryptocurrency market is currently on hold.

New York-based investment firm Fundstrat's tech report on Tuesday said:

"The cryptocurrency adjustment presents an attractive opportunity for future speculative trading. The price will drop this week. Key support is $ 59,862 followed by $ 57,371."

Some analysts attributed Bitcoin's recent drop to an all-time high of $ 68,991 ahead of the profit decision before year-end. Bitcoin prices have risen 108% so far this year.

Foreign media analyst Mike McGlone said the slowdown in smaller cryptocurrencies such as Dogecoin and Shiba Inu could indicate that cryptocurrencies could "remove some of the bubbles caused by business." Magron writes in the report:

“Some removal of coin speculation may be a necessary step towards further improvement and growth in the crypto ecosystem.

The Bloomberg Galaxy Crypto Index, which measures the performance of major cryptocurrencies, was unchanged on Wednesday and fell after falling 12% last week. At the same time, according to data from CoinMarketCap, Dogecoin's market share fell to around $ 31.5 billion from over $ 80 billion in May, while Shiba Inu's market share fell from its higher of 41 dollars. increased from $ 1 billion to $ 26.6 billion.

Carter Henderson, Portfolio Manager, Fort Pitt Capital Group, said:

"Usually when the market is stable, people will benefit before the end of the year. People just close their profits."

Regarding the next Bitcoin difference, McGron said Bitcoin can be stable around $ 60,000 and Ethereum around $ 4,000, adding that the next level for Bitcoin is for sure $ 100,000. He said it was a battle between long term clients and potential clients.

In the short term, traders can deal with the support role on a nearly 50-day moving average. Bitcoin fell slightly below the $ 60,000 level on Tuesday and saw support near its 50-day moving average. On Wednesday, the price of Bitcoin tested this support again.

In addition, hashrate (or hashrate) has been relatively good for half a century.

Hash rates refer to the speed at which miners explore the blockchain market and are an important indicator of the security of the Bitcoin network. There is some correlation between hash value and Bitcoin value, and the higher the hash value, the higher the network security, the higher the trust of Bitcoin traders. In a historical situation where the value of Bitcoin has fallen due to the decline in the hash value in the past, when the hash value gradually returns to normal, the value of Bitcoin will start to recover.

Bitcoin Computing Power Change Table

Since 2017, Bitcoin's hashrate has been steadily increasing. However, there were three drops in hashrate between 2017 and 2020. They fell from 45.9% in 2018, 40.9% at the start of mid-2020, 37.4% and 76%. At the same time, the Bitcoin value is between 58% and 36%.

Among cryptocurrencies, Ethereum's series of key principles (Fibonacci lines) indicate lower risk.