On Thursday, November 18, at the end of the day, bitcoin fell by 5.72% to $ 56,891. On Friday, November 19, the price dropped to $55,600. The correction continues to deepen. Sellers have updated the October low. The BTC/USD pair has fallen by 19.4% since its historical high. The drop was about 2% per day. The decline in prices led to a decrease in market capitalization by $469 billion, to $2.510 trillion.
In today’s lunar eclipse, fear has returned to the crypto market.
The cryptocurrency fear and greed index is 34 against 54 a day earlier. The fall is bought off, but speculators using leverage quickly close longs and open shorts. According to Soinglass, since November 10, longs in the amount of $2.5 trillion have been liquidated.
There is a risk aversion in the foreign exchange market today.
Austrian Chancellor Alexander Schellenberg announced the introduction of a national lockdown due to COVID-19. German Health Minister Jens Spahn said the country is in a state of emergency. Vaccination does not help, restrictions are needed to stop the increase in cases of morbidity.
News about the coronavirus has a strong impact on risky assets. Bitcoin has low sensitivity to them, but high sensitivity to risky assets. A prolonged rally of the dollar in any case will negatively affect the price of bitcoin and other altcoins. At the time of writing the review, bitcoin is worth $57226. The rebound was 3.49%. The $54500-55000 zone acts as an intermediate support. The resistance is the $58750 level.
