As the bearish trend tightens, Bitcoin resists $22,000

The cryptocurrency market shed billions of dollars over the weekend as the top coins and tokens underperform.

The bearish trend in bitcoin and other major cryptocurrencies intensified over the weekend, with Bitcoin and other significant coins suffering big losses.

Bitcoin, the world’s largest cryptocurrency by market capitalization, fell below $22,000 on Sunday after opening the day above $24,000. The sell-off continued into Monday morning, with Bitcoin touching an intraday low of $21,077.

The cryptocurrency market cap has dropped by more than 12% in the last 24 hours, and it currently sits at about $970 billion. This implies that the crypto market has lost roughly 60 percent of its value since peaking at $3 trillion in November 2021.

The Bitcoin sell-off was initially triggered by whales moving large amounts of BTC out of exchanges; in preparation for a possible price drop. This caused the market to become oversold, which led to a further decline in prices.

The bearish trend has intensified in recent days. As Bitcoin’s hash rate, or the total computing power dedicated to mining the cryptocurrency, has dropped sharply.

This is likely due to a large number of miners shutting down their operations due to the current market conditions.

Bitcoin has maintained its position as the industry leader but has seen a significant drop in value lately.

Bitcoin is trading at $24,135 per coin at the time of this writing, falling by more than 12% in the last 24 hours. The market capitalization of Bitcoin is currently around $445 billion.

The bearish trend has caused a lot of investors to lose faith in Bitcoin and other cryptocurrencies.

However, there are still some who believe that Bitcoin will eventually recover and reach new highs. Only time will tell what the future holds for Bitcoin and other cryptocurrencies.

Following a bearish performance, Celsius, one of the world’s major cryptocurrency lending firms, has stopped withdrawals due to “unprecedented market conditions.”

The firm says that Bitcoin, Ethereum, and other digital assets had plunged in value. So much that it would have been unprofitable to continue lending them out.

Other cryptocurrency firms have also been forced to make changes in the face of the bear market.

For example, BitMEX, a popular cryptocurrency derivatives exchange, has announced that. It will be reducing the leverage it offers on Bitcoin contracts from 100x to 50x.

These changes come as Bitcoin, Ethereum, and other major cryptocurrencies continue to trend downward. Bitcoin has fallen below $22,000, while Ethereum is now trading at around $600.

Celsius is a large cryptocurrency firm with over $12 billion in assets under management, making its entry into the market a major one. The company says;

“Due to extreme market conditions, today we are announcing that Celsius is discontinuing all withdrawals, swaps, and transfers between accounts.”

Critical levels to watch

The BTC/USD chart looks very bad because Bitcoin has done worse than usual over the past day. The technical indicators show that Bitcoin might continue the sliding down.

Data Source: Tradingview

BTC is underperforming, as evidenced by the MACD crossing below the neutral line. The RSI reading of 17 indicates that Bitcoin is in the oversold zone. The price is trading below the 20-day and 50-day simple moving averages (SMAs), which is a bearish sign.

If Bitcoin can rebound off the $22,000 support level, it could move towards the $24,000 resistance level.

If Bitcoin breaks below $22,000, it could drop towards the $20,000 support level. Bitcoin needs to break out of the $24,000 resistance level to move higher.

The current market conditions are ripe for Bitcoin to make a move in either direction. A break above the $24,000 resistance level could see Bitcoin make a move toward the $25,000 level.