Bitcoin Price Analysis: Support Is Approaching

FXOpen

Today, bitcoin has fallen in price below USD 27k per coin — for the first time in May.

According to Bloomberg, the reasons are as follows:

1→ Congestion of the bitcoin blockchain. Perhaps this is due to a surge in interest in cheap meme coins, which has led to an increase in transactions.

2→ Regulator pressure. Not to mention the SEC, we note that this week President Biden spoke out about the fact that holes in the legislation allow investors in cryptocurrencies to avoid paying taxes.

We also note the growth of the US dollar index, which automatically puts pressure on the ratio of one BTC to USD.

The bitcoin chart, meanwhile, shows that support may be close at hand.

We are talking about the crossing of the lower line (1) of the rising channel, as well as the psychological level (2) of USD 25k per bitcoin. If the price of bitcoin falls to this intersection, it can be assumed that the decline may culminate here.

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*At FXOpen UK and FXOpen AU, Cryptocurrency CFDs are only available for trading by those clients categorised as Professional clients under FCA Rules and Professional clients under ASIC Rules respectively. They are not available for trading by Retail clients.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

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