Bitcoin Drop WTF Happened
Nouvive has been stating for one week that Bitcoin will drop to the mid-$6,000 for several reasons.
It has been found that the volume of BTC and the rest of the crypto market has dropped by more than 30% as reported in late July. This drop of volume allowed both bearish investors and institutional shorters to carry the price to the mid-$6,000.
“The overall demand for crypto has declined in the past several days and market activity has subsided…a drop to mid-$6,000 is inevitable, which may play into to the prediction offered by BitMEX CEO Arthur Hayes last month.”
There are four reasons attributed to the fall in Bitcoin Prices:
- The volume of Bitcoin has been slowly dropping over the past 6 weeks, as a result, the Bitcoin 29% Increase over two months to $8,400 failed to substantiate for longer than 3 days before falling to the late $7000’s and ultimately lower $6000’s.
- Nouvive are partly attribing the decline to the decision of the US Securities and Exchange Commission (SEC) to delay the approval of the Bitcoin exchange-traded fund (ETF) of VanEck and SolidX. In leading cryptocurrency exchange market such as Japan and South Korea, a narrative has been built around the two ETF’s claiming that the Bitcoin price will achieve previous highs in August, upon the approval of the first Bitcoin ETF.
- It has been recently found out by the Nouvive team that there are twice as many trades in the Over the counter (OTC) market as there are to exchange tradable value. These OTC trades take several days to congruently appear to the exchange value. There may have been a large sell-off as a result of the rumours that first appeared about the failure of the SEC to decide on August 10th.
- CME/CBOE futures are settling on the 15thand 31stof August respectively, everytime there are settlement dates, we do see Bitcoin see lower levels.
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