{"id":1859,"date":"2022-01-24T06:57:55","date_gmt":"2022-01-24T06:57:55","guid":{"rendered":"https:\/\/tradersofcrypto.com\/news\/?p=1859"},"modified":"2022-01-24T06:57:56","modified_gmt":"2022-01-24T06:57:56","slug":"market-devastated-as-bitcoin-btc-dips-under-35000","status":"publish","type":"post","link":"https:\/\/tradersofcrypto.com\/news\/market-devastated-as-bitcoin-btc-dips-under-35000\/","title":{"rendered":"Market Devastated as Bitcoin (BTC) Dips Under $35,000"},"content":{"rendered":"\n

The first weeks of the new year opened expectations for several scenarios for the crypto market. Bitcoin (BTC) seemed set to achieve a bottom around $40,000<\/a> and renew its climbing trend. But over the weekend, BTC unraveled even more rapidly, reaching a low of around $34,349.25. Early on Monday, the leading coin traded around $35,320.25, continuing with uncertainty and bearish expectations.<\/p>\n\n\n\n

BTC is now in the play between cheap-to-buy prices based on the Rainbow Chart, and fears of dropping further. The crash also erased even more value from Ethereum (ETH)<\/a> and altcoins<\/a>. ETH sank to the $2,400 range, now fully 50% under its 2021 peak.\u00a0<\/p>\n\n\n\n

Why BTC Crashed<\/strong><\/h3>\n\n\n\n

BTC crashed based on a mix of factors culminating in fearful trading sentiment and cascading liquidations. The drop to a lower tier works by itself to erase some of the hopes for recovery.\u00a0<\/p>\n\n\n\n

BTC has already dipped twice to $30,000 from highs above $64,000 and managed to regain some positions. But this time, there are additional factors potentially weighing the coin down and causing a longer bear market. With 40% of buyers out of the money on BTC, the question is will those owners hold out and hope for higher levels in the long term, or continue to panic-sell. <\/p>\n\n\n\n

The long-term holders of BTC remain, but at the lower price range, there may yet be surprises based on leveraged position liquidations. <\/p>\n\n\n\n

Is BTC a Good Buy After the Drop<\/strong><\/h3>\n\n\n\n

BTC has been propped up by renewed buying from El Salvador\u2019s treasury, despite fears the country may be taking up significant risks. <\/p>\n\n\n\n

The latest reports saw El Salvador buy another 410 BTC to add to its cold storage. <\/p>\n\n\n\n

At the same time, BTC at current prices may not have reached its short-term lows, with more price drops to be expected. <\/p>\n\n\n\n

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Potential $BTC<\/a> #Bitcoin<\/a> floor…..

It is important to understand that the Floor Price Band adjusts daily based on onchain data inputs

Floor Price Band right now
$29,509 ( last low ) – $32,170

Only 4 days (0.01%) below the Floor Price Band over the last 10 years \ud83d\udc40\ud83d\udca5 pic.twitter.com\/C7DZSAxijL<\/a><\/p>— 8,731-541\ud83c\udfaf (94.1%) \/ #1 CRYPTO SIGNALS\ud83c\udf0e\/ DM OPEN (@BinanceKiller) January 23, 2022<\/a><\/blockquote>