Table of Contents
In recent days, Bitcoin has come under pressure as its price has swiftly declined. This has raised concerns among investors and analysts who are seeking to understand the reasons behind this downturn and determine how long it might continue.
Current Situation
At present, Bitcoin is trading at a price of $57,019.34, representing a decrease of $5,724.65 or 9.12% compared to the previous period. The maximum price over the last 24 hours reached $62,910.83, while the minimum price was $56,552.82. The trading volume over the last 24 hours amounted to 73,181.03 BTC, equivalent to $4,384.06 billion at the current exchange rate.
Influencing Factors
- Global Instability: Global economic and political events, such as geopolitical conflicts and internal economic issues in various countries, can trigger panic among investors and provoke Bitcoin sell-offs.
- Technical Factors: Resistance and support levels, as well as trading volumes, play a crucial role in determining the direction of Bitcoin’s price. Technical analysis can help forecast possible price movements.
- Regulatory Measures: News of regulatory actions regarding cryptocurrencies can significantly impact Bitcoin’s price. Statements from regulators or changes in legislation can create uncertainty among investors and lead to panic selling.
Forecasts
Forecasting the exact minimum price of Bitcoin is difficult due to the high volatility of the market. However, by analyzing current trends and fundamental factors, several approximate forecasts can be made:
- The minimum price of Bitcoin may decrease to around $55,000 in the coming days if current trends persist.
- In the event of negative news or regulatory measures, Bitcoin’s price could continue to decline and reach levels around $50,000 or even lower.
- However, if positive news emerges or the situation stabilizes in global markets, Bitcoin’s price may begin to recover and return to levels above $60,000.
What influenced the sharp fall of Bitcoin
Founder of Binance, Changpeng Zhao, has been sentenced by a U.S. court to four months in prison for violating American laws on an unprecedented scale. He was found guilty of allowing criminals to engage in money laundering on his platform. Zhao had already stepped down as CEO of Binance and pleaded guilty to charges of violating U.S. anti-money laundering laws, agreeing to pay a $50 million fine. The company itself is also ordered to pay $4.3 billion. The judge remarked that Zhao prioritized profit over U.S. laws. U.S. authorities also accuse the exchange of concealing information, undermining sanctions, and failing to report suspicious transactions, including those related to drugs, terrorism, and child sexual abuse. Investigations are ongoing in Nigeria against other high-ranking Binance employees. One of them, Tigran Gambaryan, is in prison in Nigeria, denying allegations of money laundering. Another manager, Nadim Anjarwala, escaped from prison. In March, in New York, the founder of another cryptocurrency exchange, FTX, Sam Bankman-Fried, was sentenced to 25 years in prison for embezzling $8 billion from his exchange, which later went bankrupt.
Conclusion
The recent decline in Bitcoin’s price has raised concerns among investors, but it is important to remember that cryptocurrencies are inherently volatile. Investors are advised to exercise caution, conduct additional analysis, and have a risk management strategy when investing in cryptocurrencies.
