The bitcoin exchange rate closed with a decline on November 15, and a sharp drop followed on November 16. The BTC/USDt and ETH/USDt pairs collapsed by 11.8% and 14%, respectively. The capitalization of the crypto market has decreased to $ 2.66 trillion. There are three factors that could provoke buyers to take profits.
Firstly, it is the continuation of the strengthening of the US dollar on expectations of tightening monetary policy. Secondly, US President Joe Biden signed a law on financing infrastructure projects – now organizations working with digital assets must notify the tax service of transactions worth more than $ 10 thousand. And finally, the PRC regulator confirmed that it intends to oust all miners from the country, and sharply raise fines for those companies that engage in crypto mining and carry out transactions with digital assets.
The BTC/USD pair declined on Tuesday, November 16, to $58574
The current rate is $60141. The price recovered by 2.7%. Bitcoin is in a “bullish” phase, but the general mood of buyers has deteriorated somewhat. If sellers make a new attempt to test $58500, then buyers will have to lick their wounds for a long time.
The CoinShares report on institutional investment in cryptocurrency has shown record inflows since the beginning of the year, which indicates that large investors in general are still optimistic about the cryptocurrency.
Bitcoin prices were rising ahead of the Taproot update, the first bitcoin blockchain update in four years, which was successfully activated last Sunday. Now the situation will largely depend on the closing of the day. Closing above $61700 partially negates the “bearish” sentiment. Buyers will have the opportunity to regroup in order to recapture losses by the end of the week. If the day closes below $61,000, then it is worth looking at the levels of $51 thousand and $55 thousand for bitcoin.