Bitcoin (BTC) below $20,000: 5 things to know about it

chute bitcoin

Is Bitcoin Hegemony Over? With at a price below $20,000, the cryptocurrency seems to continue to fall inevitable. This symbolic plateau was reached on August 28, and since then, Bitcoin has been fluctuating around this value.

It must be said that investors are used to September being a bad period. It’s even called “September” because of the market downturn again when this one comes. And BTC will not have escaped it with a small drop, however, of 1.5%. But is this fall only related to an unfavorable month? We are going to tell you all about Bitcoin through 5 things to know about the world’s first cryptocurrency!

Bitcoin at $20,000, a duel between bulls (bulls) and bears (bears)

In finance, there are very specific concepts including bulls and bears. bulls in English, they are investors who try to raise the price of a stock. bears they want to lower the share price. And that is exactly what happens when the fight is between the two entities. Currently, experts are trying to guess which of the two things will come to fruition in the coming months. At the moment, the future of Bitcoin (BTC) seems very clear. $20,000 seems to be the one due to lack of volatility. Traders go there with their comments on the social network Twitter. Some believe that Bitcoin should recover in the following days. This is the case @CrediBULL Crypto account that has 338,000 subscribers to its credit.

II Capo for his part, he declared that the recovery will be short-lived. For him, BTC is expected to briefly reach $23,000 before falling back to the $16,000 mark considered as floor value. In short, the forecast data is more or less similar, but the timing is different. One thing is for sure, the sequence promises to be spicy for Bitcoin traders!

The European energy crisis has an impact on the global market

Even the sharpest traders will not have time to rest on their laurels. The IS the energy crisis in Europe has caused the price of the euro to fall sharply, even making us achieve Euro/Dollar parity. On September 5, the euro is trading at its lowest level since 2022.

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Graph of the course of the euro against the dollar. The euro falls below the dollar (0.99) – Source: Trading View

The collapse follows diplomatic difficulties between Russia and Europe.. Russia was due to reopen its Nord Stream 1 gas pipeline this weekend, but changed course following the European Union’s announcement that Russian energy prices could be capped. Today, Russia is threatening to cut off all energy supplies if such decisions are made. According to experts, the crisis is not ready to stop. A glimmer of hope could be seen in Europe, but only if the value of the dollar fell or if relations with Russia improved. For now, even Plan Bcreator of Stock-to-Flow models for Bitcoin, suggested investing in Bitcoin only after meeting all the basic requirements.

Rising Dollar Drives Crypto Stock Dump

Unlike the euro, the dollar is doing very well. The crypto market suffered the consequences and seems to be crushed by the force of the latter. The US dollar index (DXY) reached 110 on September 5, 2022. This value has not been reached for many years because such records were recorded only in 2002, ie. 20 years before that!


DXY over a period of 20 years. The dollar hits 110 – Source: Trading View

The dollar is still the strongest currency in the world and this has a negative impact on all economies. For the future, we can only expect a mass dumping of crypto, to compensate for the unrestrained rise of the latter.

Bitcoin is below the realized price of the holders

It happened only 2 times that the realized price of the holders was lower. The realized price which is defined as an indicator that measures the supply weighted average price of what each market participant paid for 1 Bitcoin. For now, this The price is set at $21,600 and is considered a support price.

This phenomenon does not encourage buyers to sell their Bitcoin tokens. This view has resulted in a reduction in the currency’s volatility. today, it is estimated that around 7.5 million Bitcoins are idle or else lost. It seems that the buyers do not capitulate and refuse to sell their Bitcoins. This view explains well why Bitcoin has only risen or fallen slightly in the past few months. There is a long-term holding trend that has reached highs in just 2 years. Bitcoin holders are less likely to trade their tokens, as they see this currency as a long-term investment.

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Hold or lose BTC – Source Glassnod/Twitter

Fear dominates markets fearing a global recession

The Crypto Fear & Greed index is an indicator that measures investor sentiment in the market. And we can say that the results are worrying with a measure that only reaches 20 out of 100 during the weekend. But what is even more telling is that this same index is halved during the last 3 weeks. This reduction is explained by the various factors we have given you before. Europe’s energy situation does not seem to be on the right track for improvement. Even worse, a market rally can be expected to result in a massive crypto sell-off, causing Bitcoin to fall all the way back to its lows. At the moment, it doesn’t look like Bitcoin is on the way to a comeback anytime soon.

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Fear & Greed Crypto Index – Source:

If you want to stay up-to-date on the value of Bitcoin, we recommend you visit our real-time cryptocurrency prices page.

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Vasil’s update on the Cardano blockchain is coming on September 22nd!

Bitcoin (BTC): Peer-to-Peer Solidarity Currency

Bitcoin (BTC): Peer-to-Peer Solidarity Currency