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Bitcoin below $ 27,000, time to invest?

Bitcoin below $ 27,000, time to invest?

This Thursday morning, the price of Bitcoin was dangerously approaching $ 26,595.52. The cryptocurrency has thus been achieved the lowest level in 16 months. Ether also followed the downward trend and is currently trading at $ 1,789. So is this the perfect time to invest?

Encrypted majors drop more than 23%

According to Bitstamp, this is the first time Bitcoin has fallen below $ 27,000 since then December 30, 2020. On Thursday morning, its price fell to $ 26,595.52, the first in more than 16 months. At 1:30 am, the signal was trading at $ 27,061, 15% reduction for the past 24 hours.

Ether, which is the 2ndand cryptocurrency in terms of market capitalization, also showed a fall of 23%, falling to the unit price of $ 1,789. Interestingly enough, since July 2021, this is the first time Ether has passed about $ 2,000.

Price spike due to inflation

Against a background of fear inflation, the cryptocurrency market has been at a half-mast for the past two years. The trend is also noticeable on the stock markets. More and more investors are escaping dangerous assets. In addition, recently shared data raised concerns.

In fact, U.S. inflation data is released on Wednesday’s highs an increase of more than 8.3% prices of goods and services for April. Analyst forecasts do not align well with earnings. In fact, the numbers are much higher than predicted and are much closer to the highest level in 40 years.

Stablecoins also follows the downward trend

Traders have always believed that by investing in stable huts they would be safe from falling prices. However, the decline seems to be widespread and even reaches the so – called stablecoins.

It started with Terra USD or UST falling below 30 cents on Wednesday. Investors quickly panicked and holders withdrew en masse. On Thursday morning, the UST was trading at about 62 cents, well below the $ 1 target.

Luna also lost 97% of its value in 24 hours and was trading at 30 cents. And the drop in the value of Tether ended up reduce investor confidence in decentralized finance. In fact, the signal has dropped below the 99 cent mark. At present, analysts and economists cannot say whether the trend will continue.

Should You Buy Bitcoin Now?

It is difficult to predict whether the BTC will continue to decline or rise again as the market is volatile. One thing is for sure, given the current price, BTC seems to have an opportunity for those who believe in the future to buy cryptocurrencies.

In this case, we recommend you to proceed only reliable platforms. We can cite eToro as an example.


More information:

Bitcoin (BTC), Ethereum (ETH): 50% drop.

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