Bitcoin and Ethereum Price Predictions – BTC drops to $23,000 – How Much More Can BTC or ETH Fall?
Bitcoin has been unable to break its losing streak and is poised to end the week on a bearish note as investors steer clear of riskier investments due to growing macroeconomic uncertainty exacerbated by higher-than-anticipated inflation figures.
These significant losses are due to the Personal Consumption Expenditures data (PCE), which showed a larger than expected price rise from the previous month.
Bitcoin options contracts valued at $1.8 billion will expire today. This could cause volatility in the short term price movement of BTC.
The current price of Bitcoin is $23,070.20. There has been a $25,828,731,350 increase in trading volume over the last 24 hours. Bitcoin has seen a drop of 3.57% in the last 24 hours.
Ethereum’s current price is $1,598.62. Over the last 24 hours, it has traded $8,619,000,000,530,362. Ethereum has fallen by 2.85% in the last 24 hours.
As Inflation Concerns Increase, Crypto Market Bearish
The global cryptocurrency market is currently showing a downward trend and is expected to end the week on a negative note as investors avoid taking risks due to increasing macroeconomic uncertainties, which have been compounded by higher-than-anticipated inflation figures.
The annual inflation rate in the United States rose to 5.4% in January, according to the US Bureau of Economic Analysis’s PCE price index. It was 5.3% in December.
The core rate of inflation in PCE rose to 4.7%, which is the highest level in four months.
These statistics support the idea that the Fed might need to keep interest rates higher for a longer time to combat inflationary pressures.
Core and total PCE inflation rose by 0.6% each month. Markets have estimated that 75% of the probability for interest rates to rise to more than 5.25% at the Fed’s June meeting is likely.
Bitcoin Options Contracts worth $1.8 Billion End: What Impact Could This Have on Bitcoin’s Value?
Yesterday’s expiration of Bitcoin options contracts worth more than $1.8 billion was a sad day. The short-term price movement for Bitcoin is affected by the expiration in large numbers of Bitcoin options.
The reason for this volatility is that traders may rush to complete their transactions if they are in a position to purchase or sell Bitcoin before the expires. This could lead to a short change in the price, either up or down.
It is important to remember that market impact can vary depending upon many factors such as the number and positions taken by traders and general market sentiment. Options expirations are common in financial markets.
BTC.com reports an increase in difficulty mining bitcoin
According to BTC.com, Bitcoin’s mining difficulty has increased by 9.5% following the most recent adjustment. This was reported in a Friday update. The increase in BTC mining difficulty could indicate that it is becoming harder to mine new Bitcoins. This could have positive and negative consequences for the Bitcoin price.
The increase in difficulty in mining may indicate a rise in Bitcoin demand. The network adjusts the mining difficulty as more people try to mine Bitcoin to maintain a constant block generation rate.
This can lead to a feeling of scarcity and an increase in demand for Bitcoin, which could result in a rise.
SEC and NYDFS oppose Binance. US’s Proposed Acquisition Of Voyager Digital Assets
The US Securities and Exchange Commission (SEC), and the New York Financial Regulation Authority (Financial regulatory authority) have Contra Binance.US Plan to buy assets from Voyager Digital, which is bankrupt, for $1 billion. This will be in protest of possible violations of many laws.
This is another factor that could negatively impact the cryptocurrency industry. The SEC’s regulatory crackdown on cryptocurrency may have a significant effect on the market.
The SEC oversees the securities markets in America and has been closely monitoring the cryptocurrency industry in recent times.
Bitcoin’s current price is $23,150. This is a drop of $23,400. Technically, Bitcoin will likely gain support at the $22,700 level immediately. If it falls below that level, it could expose the BTC price up to the $22,400 mark.
Bullish traders could see a rise above $23,400, which could lead to a BTC price increase of $24,100 or $24,600.
The MACD and RSI indicators remain in the selling zone. It is therefore important to keep an eye on the $23,000-$23,400 range. Potential buying opportunities could be available if you close above this range.
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Ethereum’s current live price is $1,600 with a daily trading volume of $8.3 million. Ethereum’s price has dropped by almost 3% in the past 24 hours. CoinMarketCap ranks Ethereum #2 with a market capitalization of $196 Billion.
On the technical front, the ETH/USD pair faces a significant resistance level of $1,620. This is reinforced by the 50 day EMA. A selling trend could occur in ETH if the pair closes below that level.
Ethereum’s immediate support level is $1,570. If the Ethereum price falls below this level, it could lead to the next support level at $1,515.
A break above the $1625 resistance level could propel the Ethereum price towards the $1,674 resistance level. The $1,740 level is the next level of resistance.
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The Top 15 Cryptocurrencies You Should Watch in 2023
There are many other options for investors in the cryptocurrency market than Bitcoin (BTC), Ethereum (ETH), and Ethereum (ETH). The Cryptonews Industry Talk team compiled a list highlighting the top 15 altcoins that investors should be watching in 2023.
This list is constantly updated with new ICOs and altcoins. Make sure you check back often for the most recent additions.
Disclaimer: The Industry Talk section contains insights from crypto industry players, and is not part of Cryptonews.com’s editorial content.