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The crypto market lastly succumbed to stress as traders contemplated the Federal Reserve’s decision to depart rates of interest unchanged for September whereas wanting ahead to a tighter financial grip over the approaching months. Bitcoin value slid beneath $27,000 assist following a rejection from $27,200.

Attempts to regain management over the $27,000 went down the drain with losses presently stretching to $26,600. Down 0.5% within the final 24 hours, Bitcoin price is buying and selling at $26,606. News that fallen trade Mt. Gox would delay payouts helped to manage the coin’s draw back amid speculations of one other sweep on the $25,000 main assist.

Bitcoin Price Correlation With US Dollar Index Hits New Milestone

According to the on-chain analytics platform IntoTheBlock (ITB), the correlation between Bitcoin price and the US Dollar Index has hit a brand new milestone – zero, which can indicate that the strongest forex on the earth has no affect on BTC.

Furthermore, “there is currently almost no correlation with any of the major indices,” ITB mentioned by way of X. As Bitcoin tries to form the pattern towards the halving in 2024, the query is, is that this lack of correlation a bullish or bearish sign?

Has Bitcoin Price Bottomed?

Mixed sentiments amongst traders query whether or not BTC has bottomed or will it must retrace additional earlier than aligning the uptrend for the subsequent bull market tied to the miner reward halving in April 2024.

Based on the short-term outlook, additional declines are seemingly earlier than the subsequent important leap to the outstanding hurdle at $31,000. The vendor congestion at $27,000 means that though the market construction improved in September, the uptrend lacked the momentum to be sustainable.

#BTC

If ~$31000 was the Top for 2023…

Then the subsequent time we see these costs will probably be months from now, simply after the Halving (purple field)

Only distinction between every now and then?

In this Pre-Halving interval, $BTC may nonetheless retrace from right here

But after the Halving, BTC would… pic.twitter.com/jz8rzGjGkz

— Rekt Capital (@rektcapital) September 21, 2023

The 200-day Exponential Moving Average (EMA) (purple) stands in the way in which of features hoping to make it above $27,000. If this downward stress on Bitcoin continues, the instant assist by the 100-day EMA (blue) may budge and let BTC freefall to $26,000, or to $25,000 if push involves shove.

The Moving Average Convergence Divergence (MACD) reveals {that a} sell-off from the present value degree is the almost certainly end result. More merchants may quickly be keen to quick Bitcoin, particularly with the blue MACD line staying beneath the purple sign line.

The Relative Strength Index (RSI) in the identical quick time-frame, upholds the bearish outlook. Watching BTC’s response to key ranges at $27,000, the 200-day EMA, the 100-day EMA, and the assist space at $26,000 and $27,000 could be instrumental in foretelling the place Bitcoin is headed.

Crypto dealer and analyst, @rektcapital instructed by way of X that based mostly on the 2018 bear market backside, Bitcoin value is but to backside. He opined that earlier than the earlier bull run in 2021, Bitcoin revisited a macro greater low in March 2020.

If historical past is to repeat itself, “the 2022 Bear Market Bottom has also very similarly formed a Macro Higher Low that could be revisited in the future.”

#BTC

The 2018 Bear Market Bottom fashioned a Macro Higher Low that was then revisited in March 2020

The 2022 Bear Market Bottom has additionally very equally fashioned a Macro Higher Low that might be revisited sooner or later$BTC #Crypto #Bitcoin pic.twitter.com/NfyA0uWJp4

— Rekt Capital (@rektcapital) September 22, 2023

The current Bitcoin price doldrums may pressure Bitcoin value to shutter assist at $25,000 for one more sweep at $20,000 earlier than the pattern into the 2024/2025 bull market begins to construct.

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John is a famend crypto analyst and journalist, offering skilled insights into each broad and targeted facets of the digital asset market. As a steadfast reporter, he retains his viewers up to date with the newest information within the crypto sphere, delving into subjects akin to value traits, on-chain knowledge analytics, Non-Fungible Tokens (NFTs), Decentralized Finance (DeFi), Centralized Finance (CeFi), and the ever-evolving metaverse.

The offered content material could embody the non-public opinion of the writer and is topic to market situation. Do your market analysis earlier than investing in cryptocurrencies. The writer or the publication doesn’t maintain any accountability to your private monetary loss.