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Bitcoin falls toward $46K, tracking the US stock market.
Bitcoin plummeted for the second day in a row, reaching its lowest level in over two weeks, as a slew of bearish forces pounced on cryptocurrencies as well as riskier traditional market assets like equities.
At the time of publication, Bitcoin (BTC) was worth roughly $46,000. Earlier, the price of the largest cryptocurrency by market capitalization fell as low as $45,479 on the Bitstamp exchange, the lowest level since December 4.
According to cryptocurrency analysts, a fresh sense of bearishness may have seeped into the market following the Federal Reserve’s declaration this week that it will hasten the withdrawal of monetary support. Many investors believe that the US central bank’s recent money printing has increased the cryptocurrency’s appeal as an inflation hedge. As a result, a speedier withdrawal might exert downward pressure on the price.
“The sell wall at $49,200 has muffled any attempts to push higher and get the market believing again,” Matt Blom, head of sales and trading at digital-asset provider Eqonex, said in a newsletter on Thursday. “BTC hopes and ambitions of exceeding $100,000 have been dashed.”
Bitcoin has reached an all-time high of about $69,000.
