Bitcoin came in at $ 1,000 on June 14 compared to ATH from a previous bull run, increasing liquidation in the crypto market.
The price of Bitcoin reached its lowest value in 18 months
CoinGecko data showed that Bitcoin fell to $ 20,816, the lowest level since December 14, 2020.
The sale, which began before the weekend, intensified after the opening of Wall Street on June 13, and Bitcoin and altcoins fell in line with shares of companies from Now. The S&P 500 ended the day down 3.9%, while the Nasdaq Composite Index fell 4.7% ahead of key US Fed comments on anti-inflation policy.
However, the worst part of the decline was reserved for cryptocurrencies, with Bitcoin losing about 20% since the beginning of the week. The largest cryptocurrency was also "uncomfortably close" to crossing the $ 20,000 mark, which is ATH compared to the previous halving cycle, something that has never happened before.
Some of the key liquidation levels the market is looking at are $ 1,150 in ETH and $ 20,000 in BTC. Many analysts have pointed out that all bets have been ruled out when it comes to guessing the lower price threshold of Bitcoin or whether key trend lines will serve as support levels.
Rekt Capital warned that the 200-week simple moving average (SMA) of $ 22,400 was not accompanied by the significant interest in volume, leaving the door open for lower-level testing.
The Celsius Network is taking extreme measures
The Celsius Network, which has 1.7 million customers, said that "extreme market conditions" had forced it to temporarily halt all withdrawals, crypto swaps and transfers between accounts.
"We are taking this necessary action for the benefit of our entire community in order to stabilize liquidity and operations while we take steps to preserve and protect assets," the company said in a blog post. The UK-registered company has about $3.7 billion in assets, according to its website.
It pays interest on cryptocurrency deposits, and loans them out to make a return. "Celsius suspending withdrawals yesterday gave extra downside momentum," noted Jeffrey Halley, senior market analyst, Asia Pacific, at Oanda. "I can only assume the next big level for bitcoin psychologically will be $20,000."