Is blood bleeding on the platforms concerned with the sale of alternative currencies, dominated by the color red?
As traders flock to keep the price of Bitcoin above $ 40,000
Recent altcoin gains have come under pressure as Bitcoin (BTC) plunged to retest lower support levels after hitting a new all-time high of $ 41,940.
After Bitcoin on January 7 fell by more than $ 40,000, the cryptocurrency came under selling pressure that brought the price down to $ 36,600. As was the case with the current rally, investors quickly bought the downside and Bitcoin hit a new all-time high of $ 41,940 on January 8.
Market sentiment continues to improve as institutional investors continue to move towards cryptocurrencies. And as reported by Cointelegraph, Michael Sonnenshin, CEO of Grayscale Investments, claims that pension funds have started using the Grayscale family of funds to invest in Bitcoin.
Jim Kramer, host of Mad Money on CNBC, also noted that the cryptocurrency rally comes as the price of gold continues to be under pressure, indicating that the mainstream discourse on Bitcoin and digital assets begins to change.
While it is difficult to determine how long the price of Bitcoin can maintain its current bullish momentum, it is clear that with each downturn, institutional and retail investors are buying aggressively and pushing the price to new highs.
Stocks fall after uncertainty over next stimulus round
After hitting all-time highs on January 7, the S, P500, Nasdaq, and Dow indices showed less strength today as it became clear that the stimulus bill many expected from U.S. lawmakers still faces significant obstacles.
All major indexes fell under the pressure of early selling but all were able to recover to end the day in the black zone. The S&P 500 closed up 0.55%, while the Nasdaq and Dow ended the day up 1.28% and 0.18%, respectively.
As Bitcoin has traded in a range of $ 36,660 to $ 42,000 over the past 24 hours, altcoins face increasing selling pressure.
As the weekend approaches, selling pressure is starting to build across the board, indicating the possibility of a further downturn as the market seeks to create a new trading range.
If the price of Bitcoin finds support or enters into a consolidation, altcoins tend to rally, so intraday traders prefer to watch Bitcoin’s price movement closely.
Ethereum (ETH) is currently down 2.3% and is trading at $ 1,194, while Bolcadot (DOT) and Steller Lumens (XLM) are both down more than 6% and trading at $ 9.15 and $ 0.289, respectively.
The total cryptocurrency market capitalization is now $ 1.05 trillion and Bitcoin’s dominance rate is 70.5%.