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Co-founders of Glassnode attribute Bitcoin's recent dip below $100,000 to the Fed's hawkish stance on interest rates, but they anticipate a recovery as Bitcoin shows strong outflows from exchanges. Currently trading at $100,426, Bitcoin's dominance is at a critical juncture, potentially signaling a rally or a resurgence of altcoins in the coming days.
Dogecoin's price has plummeted over 25% in just two days, dropping from above $0.41 to a five-week low of $0.31 amid a broader cryptocurrency market correction. Analysts suggest that further declines could see DOGE testing key support levels around $0.22 before potentially resuming its upward trend following the recent political developments in the U.S.
Ethereum (ETH) experienced a 4.50% decline following the Federal Reserve's 25 basis point rate cut, failing to reach the anticipated $4,500 target. Indicators such as the price-Daily Active Addresses divergence and the Coinbase Premium Gap suggest ongoing selling pressure, with a potential drop to $3,501 if trends persist. A head-and-shoulders pattern on the 4-hour chart further signals a bearish trend, although increased trading volume could alter this trajectory.
Liquidations in the cryptocurrency market have surged past $1 billion as Bitcoin plummeted to under $98,000, following negative remarks from the US Federal Reserve Chair. Altcoins like ETH, DOGE, and ADA experienced severe losses, with over 330,000 traders affected. The largest liquidation order exceeded $11 million on Bitmex, highlighting the volatility in the market.
Liquidations in the cryptocurrency market have surged past $1 billion as Bitcoin (BTC) fell below $98,000, following negative remarks from the US Federal Reserve Chair. Altcoins like ETH, DOGE, and ADA experienced significant losses, with over 330,000 traders affected in the last 24 hours. The total value of liquidated positions highlights the volatility and turmoil within the market.
Franklin Templeton has filed for a dual crypto index ETF to track Bitcoin and Ether, coinciding with Bitcoin's stabilization at the critical $100K support level. Analysts predict that the SEC may approve this ETF alongside similar proposals from Bitwise and Hashdex in 2025, bolstered by recent regulatory appointments and a favorable market outlook. The proposed fund will focus solely on Bitcoin, Ether, cash, and cash equivalents, aiming to replicate the CF Institutional Digital Asset Index without engaging in staking or income-generating activities.
Dogecoin (DOGE) experienced a 6% drop to an intraday low of $0.3404 on December 19, following Bitcoin's decline below $100,000 and a hawkish Federal Reserve press conference. The memecoin market saw over $10 billion wiped out in 24 hours, with increased trading volume reflecting heightened risk-off sentiment. Despite current bearish trends, professional trader Natalie Dormer notes that DOGE is at a critical support level around $0.35, suggesting potential for a rebound if broader market conditions stabilize.
Kostovetsky warns that investing in cryptocurrency resembles gambling more than traditional investments, highlighting its volatility and the need for risk tolerance. While Trump’s administration may foster crypto adoption through regulatory clarity, the SEC's stance on cryptocurrencies as securities complicates the landscape. The Federal Reserve's refusal to hold a bitcoin reserve further underscores the challenges in establishing a stable framework for digital currencies.
Avalanche (AVAX) and Chainlink (LINK) faced significant losses following the Federal Open Market Committee's interest rate cut announcement, with AVAX dropping 16% and trading around $42.35. Analysts project AVAX could reach $60 by year-end in a bullish scenario, while Chainlink shows strong support at $23 despite whale activity raising liquidity concerns. Both assets exhibit potential for recovery, with Avalanche's ecosystem expansion and Chainlink's bullish reversal patterns suggesting possible upward momentum.
Bitcoin has experienced a rally following the US election, supported by oblique trends, but faces potential risks of a breakout. The Federal Reserve's recent projections, indicating higher inflation expectations and fewer rate cuts for 2025, have led to a rise in US yields and a stronger dollar, which in turn pressured both gold and Bitcoin.
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