Bitcoin collapsed this afternoon as $ 60,000 finally gave way to a two-week low.
Data from TradingView shows BTC is approaching $ 58,000 at press time, its lowest level since October 15.
The move follows several re-tests of $ 60,000, with Bitcoin currently drawing liquidity from a large retaining wall with $ 57,000 as its base.
As reported by Bitcoin Magazine, analysts are preparing, with some data suggesting that a deeper drop to $ 50,000 will sustain the general upward trend.
#Bitcoin failed to break the $ 63.6K and is testing the other side of the range.
Might drop another time if $ 61.6K can’t break and then I’ll look at $ 58K next. pic.twitter.com/HIsvhE5ZlZ
– Michaël van de Poppe (@CryptoMichNL) October 27, 2021
“Bitcoin failed to break through $ 63.6k and test the upper limit of the range. The price has come down because we can’t get back $ 61.6,000 after that, and the next target is $ 58,000. “
Charles Edwards, CEO of investment firm Capriole, meanwhile, commented on the situation, claiming that traders using leverage have fueled volatility.
“Basically, given most of the metrics, Bitcoin is amazing here, but the leverage trader is out of control. The dynamic will not be sustainable until that changes. “
The data shows that $ 538 million was liquidated in a single hour and more than $ 842 million in the last 24 hours.
In addition, the financing rates on various crypto exchanges are rising dangerously and the greed and fear index of Bitcoin has fallen from its highest level in more than half a year.
Not only that, the long-term hodler seems to be taking profits – this usually happens after BTC hits a new all-time high.
Altcoins lose big
Ether led the decline in altcoins on Wednesday, falling below the $ 4,000 support it previously struggled to regain.
Some of the top 10 cryptocurrencies by market cap have suffered daily losses of over 15%, including Dogecoin and Solana.
Shiba Inu (SHIB) stayed largely in the green, up 27% for the day, despite the market turning and continuing a wild month.
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According to Cointelegraph