Categories: Bitcoin Latest News

Bitcoin Slides for Second Day as Analyst Warns of Dip Below $45K

Post ContentRead MoreFeedzy

Bitcoin (BTC) fell for a second day in a row, retreating after its price passed $48,000 earlier this week.

The bitcoin was trading at $45,945 as of press time, down 2.5% on the day. The latest price drop followed an eight-day winning streak that had brought bitcoin to a break-even point for the year, recovering from this year’s abysmal start.

“Bullish bitcoin momentum has definitely run out of steam, and the persistent geopolitical risk will likely cap the recent rally,” said Edward Moya, a senior market analyst at Oanda. “Bitcoin seems poised to consolidate here and could be vulnerable to a drop towards the $44,500 level.”

Although bitcoin adoption is improving and interest is growing, it takes time to drive steady long-term flows, Moya said. “The path higher will be a slower grind higher for bitcoin as many traders will also focus on the other coins that are earlier in their growth stage,” he said.

According to Jason Deane, chief bitcoin analyst at Quantum Economics, this consolidation is positive for the market because it builds a new base for investors to “make further price discovery.”

Luna Foundation Guard (LFG), a nonprofit that supports decentralized networks, also resumed buying bitcoin. It announced a $272 million purchase on Wednesday.

European Union lawmakers voted Thursday in favor of controversial measures to outlaw anonymous crypto transactions, a move the industry said would stifle innovation and invade privacy.

The Federal Reserve’s preferred inflation gauge, the personal consumption expenditures price index (PCE), showed annual inflation rose 6.4% in February, the Labor Department’s Bureau of Economic Analysis reported Thursday. The February pace was the highest since 1982.

The S&P 500 was down 0.5% on Thursday. It has been on a four-day winning streak. The fall was likely due to investors’ conservative attitude as they monitor progress in discussions between Russia and Ukraine and mixed U.S. economic data.

The Wall Street Journal reported that the bond market is suffering its worst quarter in the past 40 years.

The West Texas Intermediate crude oil price plummeted late Wednesday and was down 5.9% on Thursday. President Joe Biden announced the largest-ever release of oil from the U.S. Strategic Petroleum Reserve to help ease high gas prices at the pump.

DISCLOSURE

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Recent Posts

Bank Clients Just Dipped Their Toes Into Bitcoin ETFs, but Q4 Could See a FOMO Spike

Wealth management clients of Wall Street banks like Goldman Sachs, Bank of America, Morgan Stanley…

4 hours ago

Bitcoin Volume Crashes 27% As Price Falls, What Does This Say About The Decline?

The Bitcoin volume has experienced a severe crash amidst its initial price momentum, falling by…

6 hours ago

Jack Mallers New Video About Bitcoin Scarcity is Right on the Money!

Follow Mark on X. Well, well, well—if it isn't Jack Mallers dropping truth bombs like…

7 hours ago

This OG Bitcoin Investor Just Turned $120 Into $178M

The user held BTC from when it was worth $0.06 all the way up to…

8 hours ago

Bitcoin Spot Is King – STH Selling Pressure Expected To Be Absorbed By ETFs

Bitcoin has experienced a whirlwind of volatility following its recent all-time high of $93,483 set…

8 hours ago

No, BlackRock Won’t Ossify Bitcoin

Follow Aaron on Nostr or X. In his Take from Wednesday, Shinobi argued that the surge…

8 hours ago