Sunday, December 10, 2023

Market Watch Jan 11: Bitcoin Briefly Slipped Below $40,000, Regains Again But Bullish

The popular cryptocurrency continues to be bullish as it briefly slipped to $39,660 before regaining 0.73% in the last 24-hours. The market is very much volatile. And investors are waiting for BTC to stabilize before picking a few coins. Experts have been pointing out that the crypto’s value, in recent months, seems to be strongly connected to the liquidity in the market.


At the time of writing this article, Bitcoin was up 0.73% and stood at $42,274, as per the CoinMarketCap. But it could turn either way, either gain or lose as the market is very much unstable. Analysts at Delphi Digital believe the Fed’s shift in monetary policy is a challenge for the crypto market. Its to do with tighter liquidity conditions and heightened market volatility.

The macro tailwinds, according to the analysts, have reversed course. It had earlier helped drive Bitcoin and other cryptocurrencies to achieve new highs in the last 12 to 18 months. Delphi Digital highlights that the move from excess translucence and accommodative monetary conditions is a structural headwind. This now seems to be coming to a peak.

Moreover, the Fed’s plans to increase the interest rates have had a positive effect on the dollar. But there is very little in it for digital assets, like bitcoin. The US dollar continues to play a significant role in steering the global markets. With this, cryptocurrencies and equities are becoming less attractive and lucrative than safe-haven bonds.

Kaiko, an analysis firm, says cryptocurrency is hanging onto short-term support at around $40,000. The upside is limited near the $43,000 to $45,000 range. The crypto market continues to be in the red.


Cryptured Team
Cryptured Team
The writers team at is composed of passionate and experienced journalists who cover the latest developments in the crypto and blockchain space. They aim to provide accurate, unbiased and easy-to-understand news and information for their readers, as well as insights and analysis from industry experts. The writers team is always on the lookout for new and exciting stories that can help the general public learn more about the potential and challenges of these technologies.

Most Popular