Bitcoin rate fell below $ 48 thousand amid "cooling" of the market

Bitcoin price dropped below $ 48 thousand, reaching its lowest level in the last 48 days.

In less than 24 hours, the BTC rate fell $55 thousand.to $47.5 thousand. By lunchtime, the correction turned into a sideways movement, and the market began to make attempts to regain lost positions. At the time of publication, Bitcoin is trading at $49,368 with a daily loss of 8.56%.

Among the reasons for such a sharp collapse may beUS President Joe Biden's proposal to double the capital gains tax, bearish sentiment in the cryptocurrency futures market and a series of large sell orders onmajor exchanges.

Some analysts also talk about the return of the balance of flows after a long “overheating”. retail market.

Since on the daily chart the rate dropped below the 100-day moving average, it is possible that it will continue to decline to a support level of about $ 46,000.

Let us recall that, according to a JPMorgan analyst, the Bitcoin market is expecting a protracted decline due to weakening investor support.

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