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Bitcoin Price Drops Below December Low of $18,000

December 9, 2020 at 14:50 by Mark Stevenson

On Wednesday, December 9, the price of one bitcoin (BTC) dropped from $18,000 to $17,743 around 8:32 GMT on Bitfinex, having lost more than 7%. As a result of the decrease, the volume of liquidations in the futures market amounted to $440 million.

A comparable decline in Bitcoin price was observed on December 1, before the asset took off close to $20,000.

However, at the time of writing this article, the price of BTC has managed to recover a little as it is trading on Bitfinex around $18,310 at 13:47 GMT.

The rest of the leading digital assets are in the red on Wednesday morning. Ethereum has lost about 8% and is trading at around $574, while the XRP price has dropped to $0.56.

Will the downtrend continue?

While the bullish sentiment is far from over, Bitcoin is still sending mixed signals. According to crypto analyst Michaël van de Poppe the downtrend is likely to continue unless $18,500–18,700 is reclaimed.

With the bottom level just below $17,000, Bitcoin price has an additional impetus to decline further in the short term.

However, Van de Poppe and others are optimistic, noting that lower levels would provide big players an opportunity to buy the dip. Moreover, quantitative analyst PlanB tweeted on Tuesday after BTC price started to drop:

Watch how traders, shitcoiners and weak hands transfer their #bitcoin to strong hands like Grayscale, Paypal, Square, MicroStrategy etc. These BTC will disappear from the market and go into deep cold storage and stay there for years.

Earlier, Bloomberg analysts, Mike McGlone said that the range of fluctuations in the price of bitcoin could be between $10,000–50,000, and capitalization could grow to $1 trillion in 2021 — 2022.

If you have any questions and comments on Bitcoin today, use the form below to reply.

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