{"id":44884,"date":"2025-01-08T18:25:45","date_gmt":"2025-01-08T18:25:45","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/bitcoin-crashes-below-100k-as-recovery-signals-emerge-gt-leads-altcoin-gains\/"},"modified":"2025-01-08T18:25:45","modified_gmt":"2025-01-08T18:25:45","slug":"bitcoin-crashes-below-100k-as-recovery-signals-emerge-gt-leads-altcoin-gains","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/bitcoin-crashes-below-100k-as-recovery-signals-emerge-gt-leads-altcoin-gains\/","title":{"rendered":"Bitcoin crashes below $100K as recovery signals emerge; GT leads altcoin gains"},"content":{"rendered":"

(Originally posted on : Invezz )<\/b>
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Bitcoin wiped a notable chunk of its early week gains as it slipped below $100,000 just 48 hours after settling above that mark for the first time in 2025.<\/p>\n

Hopes for a post-holiday market rebound are facing setbacks, with the global cryptocurrency market capitalization dropping over 7% in a day, from $3.68 trillion to $3.4 trillion at the time of writing.<\/p>\n

Fear crept back into the market, with macroeconomic concerns pushing the crypto fear and greed index down to 70 from 78 the day before. <\/p>\n

Losses were more pronounced in the altcoin sector, with most top cryptocurrencies showing red candles across the board.<\/p>\n

Why did Bitcoin crash today?<\/h2>\n

Bitcoin is down over 5% at press time, with an intraday low of $94,541.19 and over $522  million long positions liquidated in the past 24 hours.<\/p>\n

It was a tough day for both traditional and cryptocurrency markets as fears of inflation and rising US bond yields weighed heavily on investor sentiment<\/a>. <\/p>\n

Traders grew cautious amid signals from the Federal Reserve hinting at prolonged higher interest rates, dampening risk appetite across the board.<\/p>\n

However, the primary catalysts behind today\u2019s crash were two key economic reports.<\/p>\n

First, the Institute for Supply Management\u2019s (ISM) December PMI came in hot at 54.1, beating November\u2019s 52.1 and hinting at stronger-than-expected economic activity.<\/p>\n

Meanwhile, the November JOLTS report showed a rise in job openings, but hiring slowed compared to the previous month. <\/p>\n

The quit rate\u2014often seen as a measure of worker confidence\u2014dipped to 1.9% from October\u2019s 2.1%.<\/p>\n

These numbers have investors rethinking their expectations for interest rate cuts. <\/p>\n

Traders now see less than a 50% chance of cuts before June, and most expect the Federal Reserve to keep rates steady at its mid-January meeting.<\/p>\n

The current market scenario favors a deeper correction, according to some experts. <\/p>\n

According to analyst pseudonymous analyst Skew, $95,000 is a key support level for now that could decide Bitcoin\u2019s short-term price action.\u00a0<\/p>\n

If the price breaks below, it could trigger further downside momentum, potentially driving Bitcoin toward the $92,000\u2013$88,000 range as significant buy liquidity is waiting in that zone. <\/p>\n

The market naturally gravitates toward areas with high liquidity.<\/p>\n

However, others were not so concerned, with analyst Josh Rager speculating that the market could rebound by the end of the week. <\/p>\n

On the other hand, analyst Markus Thielen says tightening global liquidity, driven by a stronger US dollar post-Trump re-election, could push Bitcoin into a consolidation phase as dollar-denominated liquidity weakens.<\/p>\n

Will Bitcoin go up again?<\/h2>\n

Some indicators suggest Bitcoin could be set for a strong rebound shortly.<\/p>\n

For instance, Bitcoin\u2019s hourly Relative Strength Index had dropped to oversold levels last seen when its price was trading around $60,000 in early 2024. <\/p>\n

Such levels mean Bitcoin is heavily undervalued right now, making it likely for buyers to step in and push the price back up.<\/p>\n

Another factor is the long-short ratio on Binance, one of the world\u2019s largest exchanges by trading volume and an influential platform in shaping the flagship crypto\u2019s price. <\/p>\n

Currently, the long-short ratio on Binance stands at 1.69, showing more traders are betting on Bitcoin\u2019s price going up than down. <\/p>\n

This buying pressure could help push prices higher if market sentiment stays positive.<\/p>\n

Another positive indicator for Bitcoin is the TD Sequential, which, according to analyst Ali Martinez, is showing a buy signal on the 4-hour chart. <\/p>\n

The TD Sequential is a technical indicator used to spot trend reversals. <\/p>\n

A buy signal suggests Bitcoin\u2019s price might be ready to bounce back in the short term.<\/p>\n

Altcoin market suffers<\/h2>\n

Over the past 24 hours, the overall altcoin market capitalization dropped by 9.6%, from $1.67 trillion to an intraday low of $1.51 trillion. <\/p>\n

Most of the top altcoins suffered, with the best performer, GateToken (GT), gaining just 3%, followed by SPX and XDC, with gains below 2%.<\/p>\n

\"Altcoins\/USDT<\/figure>\n

Source: CoinMarketCap<\/a><\/p>\n

It’s common for altcoin market crashes to be more severe, as their price movements are often heavily tied to Bitcoin’s performance. <\/p>\n

When Bitcoin experiences volatility, altcoins tend to react with amplified swings in both directions.<\/p>\n

The Altcoin Season Index has also dipped by one point to 46, signaling weakening momentum in the broader altcoin market. <\/p>\n

For a recovery to take shape, Bitcoin would need to stabilize and regain upward momentum to restore confidence across the altcoin sector.<\/p>\n

Traders are also bullish over the long-term performance of altcoins this bull season. According to Crypto Rover, the broader trend remains intact. See below.<\/p>\n<\/p>\n

The post Bitcoin crashes below $100K as recovery signals emerge; GT leads altcoin gains<\/a> appeared first on Invezz<\/a><\/p>\n

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(Originally posted on : Invezz ) Bitcoin wiped a notable chunk of its early week gains as it slipped below $100,000 just 48 hours after settling above that mark for the first time in 2025. Hopes for a post-holiday market rebound are facing setbacks, with the global cryptocurrency market capitalization dropping over 7% in a […]<\/p>\n","protected":false},"author":3947362366,"featured_media":44885,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[39],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/44884"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/3947362366"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=44884"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/44884\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/44885"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=44884"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=44884"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=44884"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}