Investors Lose Nearly $5B Over Bitcoin; Will BTC Rise Back Up?

Due to the downtrend in the crypto winter and BTC’s significant decline over the last few months, the market leaders who invested in Bitcoin such as Tesla, MicroStrategy, and Block faced a loss of about $5 billion from the drop in Bitcoin according to data from Bloomberg. Being eyed by many whales and industry leaders, Bitcoin has a huge impact on the financial world.

Since January 1, 2022, BTC has dropped from its monthly close of around $38,466 to its current level, which is $23,103 at the time of writing. According to CoinMarketCap, this follows after a price increase of 0.90% in the last 24 hours.

Based on the 1-hour chart for BTC/USDT chart, BTC has been inside a bearish flag pattern since June 20, 2022, and it’s going sideways inside the channel. After touching the resistance zone at $24,000, it cannot break out of the resistance and drops immediately from its resistance level of $24,196.82 to $22,363.

Despite the bearish retrace to $22,363, Bitcoin is still above the 200 EMA in both 1-hour and 4-hour charts meaning that it can head back to bullish after a few pullbacks. However, it is observable that it will be hard for Bitcoin to go straight to bullish since it cannot break the current selling pressure which has a selling order block placed at around $24,000.

Moreover, a reverse course of Bitcoin formed into an uptrend on July 3 and it has formed a consistent series of higher highs and higher lows. In this case, Bitcoin may likely rise above its current resistance level and place a new higher high over the upcoming days after following a series of consolidations.

Notably, BTC still has its leading position in the crypto market when it comes to market cap as its market cap total is around $442,322,418,219.96. Ever since the market crash, the crypto world is hoping for a reversal of the market conditions from the downtrend. 

Disclaimer: The views and opinions expressed in this article are solely the author’s and do not necessarily reflect the views of CQ. No information in this article should be interpreted as investment advice. CQ encourages all users to do their research before investing in cryptocurrencies.