Leading cryptocurrency Bitcoin (BTC) dropped close to 20% on January 11, dropping from $ 40,000 to below $ 33,000, and the market was feared. While this drop in the bitcoin price caused altcoins to take a similar hit, today everyone thinks the danger has passed.
Crypto Money Market Recovers
Looking at the cryptocurrencies in the Top 10, in the last 24 hours, BTC rose 2.4%, Ethereum 1.7%, XRP 2%, Cardano 6%, Polkadot 2.9%, Stellar 14.5% and Chainlink 2.7%. . It is seen that the crypto currencies that are experiencing a decline are only Litecoin and Bitcoin Cash .
Famous analyst and writer of The Block, Larry Cermak stated that the danger is still not over and that every time the Bitcoin price reaches a critical level, it may face a tough selling pressure. Cermak stated that the Bitstamp and Coinbase cryptocurrency exchanges have loaded selling walls, especially at $ 36,660. These sell walls are known as sell orders by investors, and there is a possibility that they may not be executed.
Check Out Up To 100x Futures Options Without Authentication And Overload Barrier On Bybit.
Bitcoin Danger on Bitstamp and Coinbase
Institutional investors or whales are known to resort to this tactic from time to time, causing individual investors in the market to panic by giving orders even if they are not actually selling at that level. When we look at the chart published by Cermak, it is seen that he has indeed given large sales orders from the level of $ 36,000.
Although the situation on Bitstamp, one of the largest exchanges in the world, is not that critical, it seems likely that the BTC price, which is worth $ 36,000 on Coinbase, will experience an immediate drop. Of course, there is a possibility that these orders can be canceled without being executed.
As can be predicted if the Bitcoin price is upside down from these levels, it will hit the altcoins first. Many altcoins' prices may retract much harder than January 11, with the effect of the new recovery.