Bitcoin Price Sits Near $35,000 As Market Macro Conditions Badger Crypto

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Bitcoin is trading around the $35,000 mark and is down 18% in a week. Tensions at the Ukrainian border, inflation fears and interest rates are

Bitcoin price continues to falter after hundreds of millions of dollars in liquidations on Thursday.

The world’s largest crypto by market value is currently changing hands for around $35,076, according to data from provider CoinGecko. The data also shows that the crypto is down more than 18% over a seven-day period, its worst weekly performance in nearly eight months.

“We see a trio of forces entering the new week,” Jon de Wet, CIO of Australian crypto trading firm Zerocap.

Tensions are rising on the Ukrainian border, inflation fears are finally being taken seriously by the market and, in response, the reduction and [interest rate] the hiking cycle is aggressively priced in, with risky assets undervalued.

The Nasdaq 100 ended Friday down around -2.4% and has fallen 9% over the past seven trading days. The index is now approaching its early October lows of around 14,400. Meanwhile, tech stocks including Apple and Google are also down around 2.2%.

BTC/USDT – Bitstamp. Credit: Tradingview

Daily sell-side volume for the Bitstamp exchange shows that the downward momentum also coincided with recent bitcoin selling seen from Jan. 19 to Jan. 19. 22. A decline in the price of an asset on the daily timeframe, along with an increase in volume from sellers, is generally considered a bearish signal in terms of the market technician.

Bitcoin’s daily chart shows a sharp decline in price – buying pressure failed to push prices above the sloping trendline – as well as a break of previous support near $39,000 .

That said, the on-chain crypto data is bullish, de Wet said. He noted that long-term holders were “aggressively” buying the dip.

“The net change in exchange position for BTC is negative – meaning investors are pulling BTC out of exchanges, creating supply constraints,” de Wet said. “Perpetual funding rates oscillate between negative and positive , which shows the indecisiveness of short-term traders.”

The other top 10 cryptos by market value also fell on the day, with LUNA, DOT, and SOL giving up the most gains between 1.8% and 10% respectively.

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Sebastien Sinclair

blockages

Senior Reporter, Asia News Desk

Sebastian Sinclair is a senior reporter for Blockworks operating in Southeast Asia. He has experience covering the crypto market as well as some developments affecting the industry including regulation, business, and mergers and acquisitions. It currently does not hold any cryptocurrency.

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