Fundamental Development:- Bitcoin fell as much as 14% on Monday after major U.S. cryptocurrency lending company Celsius Network froze withdrawals and transfers citing "extreme" market conditions, in the latest sign of the financial market downturn hitting the cryptosphere. The Celsius move triggered a slide across cryptocurrencies, with their value dropping below $1 trillion on Monday for the first time since January 2021, sparking worries the rout might spill over into other assets or hit other companies."Almost anything can be systemic in crypto ... because the whole space is over-levered," said Cory Klippsten, chief executive of Swan Bitcoin, a bitcoin savings platform. "It's all a house of cards."Celsius CEO Alex Mashinsky and Celsius did not respond to Reuters requests for comment.New Jersey-based Celsius, which has around $11.8 billion in assets, offers interest-bearing products to customers who deposit cryptocurrencies with its platform. It then lends out cryptocurrencies to earn a return.After Celsius's announcement, bitcoin (BTC=BTSP) touched an 18-month low of $22,725, before rebounding slightly to around $23,265. No.2 token ether dropped as much as 18% to $1,176, its lowest since January 2021.
Short Term Technical View: On daily time frame BTC is trading below 200&50 simple moving averages and trading between $22,600-$27,000 ranges.BTC is made low 20,795 and now consolidating within a range. Yesterday it made low near $20,795 and then it continue to decline. Bitcoin is struggling to gain momentum above $23,300.
Alternative Scenario: If Bitcoin fails to clear the $23,300 resistance zone, it could start another decline. An immediate support on the downside is near the $27,700 level.
Short Term Technical View: On daily time frame BTC is trading below 200&50 simple moving averages and trading between $22,600-$27,000 ranges.BTC is made low 20,795 and now consolidating within a range. Yesterday it made low near $20,795 and then it continue to decline. Bitcoin is struggling to gain momentum above $23,300.
Alternative Scenario: If Bitcoin fails to clear the $23,300 resistance zone, it could start another decline. An immediate support on the downside is near the $27,700 level.