The BTC is so low that it looks like an illusion. However, this is the reality – on Wednesday the leading cryptocurrency goes on falling, trading at 21,363 USD. All the negative forecasts have come true, and in quite a short time. The BTC broke through all important support levels and dropped to the important threshold of 20,000 USD.
Panicking is based on the decline of the US stock indices S&P 500 and Nasdaq that the BTC correlates with. The indices, in their turn, fell after an inflation report in the US that demonstrated sky-rocketing of inflation in May by 8.6% y/y. This is the high of the last 40 years.
With all this, expectations of decisive actions from the Federal Reserve system at the meeting in June grew noticeably. The meeting will end today. The Fed can save the cryptomarket from freezing, and yet it can bring it down even deeper.
Today a close eye should be kept on the S&P 500 futures; it critically needs to return to 3,800-3,820 points. If this happens, chances are that the indices and crypto will bounce off. Otherwise, let us remember this market beautiful.
If anything good happens, we will have time to discuss a positive scenario. However, the negative scenario is a breakaway of 20,000 USD downwards with a new goal at 10,000 USD. Anyway, the market is empty, so falling will be at a cosmic speed.
ETH: it can be cheaper
The price of the key altcoin dropped to 1,130 USD with a new sales goal at 1,000 USD. The ETH can fall even lower if the market situation remains so bad.
Binance resumed BTC withdrawal
The Binance exchange returned to full-scale work after certain issues and resumed withdrawing the BTC again. Earlier, some problems occurred to the system of transactions withdrawal, which meant users could not withdraw their BTC. With global market sales, these events heated up nervousness.
Source: Roboforex
