Bitcoin price finds soft support at $ 35,000 after falling 7.4% in the late hours of January 19th.
According to Joseph Young, who works for Cointelegraph, the correction was primarily due to an overheated derivatives market and uncertainty about whether BTC can hit $ 40,000 levels again. Data from Cointelegraph Markets and TradingView show that the price of Bitcoin (BTC) fell to $ 33,400 before recovering to the $ 35,000 level.
All is not lost for the top cryptocurrency, however, as BlackRock, a multi-trillion dollar asset manager, filed with the US Securities and Exchange Commission, mentioning the possibility of using bitcoin derivatives and other assets as part of its investment plan has been.
BTC / USDT 4-hour chart. Source: TradingView
According to Decentrader analyst filbfilb, Bitcoin “could be trapped in a consolidation between $ 30,000 and $ 38,000,” with many purchase orders currently “stacking between $ 30,000 and $ 33,000.”
After analyzing filbfilb:
“Demand in the low 30s was tested today and has since rebounded, with Coinbase leading the price decline. The market is fearful in the demand zone, as the financing shows. “
The analyst went on to say that no further decline is expected and a longer period of consolidation is more likely. Filbfilb also noted that the new issue of Tether (USDT) was recently put on hold, but new money was released on Jan. 20 after iFinex Inc requested a 30-day extension to produce test papers for the New York attorney general.
Daily market performance in cryptocurrencies. Source: Coin360
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The S&P 500, NASDAQ and Dow ended the trading day in the green, up 1.39%, 2.31% and 0.83%, respectively. The S&P 500 and NASDAQ also hit new highs during the trading day.
BTC / USD daily chart. Source: Coin360
While the majority of cryptocurrencies posted losses, Polkadot (DOT) continued its upward trend with a 5.04% increase. The only other top 30 cryptocurrency that has seen notable gains is VeChain (VET), which is an 11.47% increase.
Hedera Hashgraph (HBAR) also performed excellently, rising 44% overnight and currently trading at $ 0.0984. REN also broke out today, up 15.94% over the past 24 hours.
The total market cap for cryptocurrencies is now $ 995.5 billion, and Bitcoin’s dominance rate is 64.8%.