Solid News

BTCUSD Decline may Continue

11/28/2022 2:15 PM

Last week, the BTC/USD pair had ambiguous dynamics: the quotes reached the year’s lows around 15480.00, after which they recovered part of their positions, returning to 16700.00, and are now trying to resume the decline again.

Like the rest of the cryptocurrency market, the BTC coin is experiencing the consequences of the bankruptcy of the FTX exchange, which risks causing a “domino effect” and leading to significant losses for other large companies in the digital sector. Currently, a direct consequence of this event is the loss of funds by millions of creditors and the financial problems of more than a dozen cryptocurrency platforms, including Galaxy Digital, Sequoia Capital, BlockFi, Crypto.com, and others. Investors are most wary of the current situation with a subsidiary of the Digital Currency Group: Genesis Global Capital offered investors to issue loans in cryptocurrencies at a high interest rate. This service was also used by the FTX exchange, secured by its own FTT token, and after its closure, the Digital Currency Group experienced a liquidity deficit of 1.0B dollars, which has not yet been closed. According to experts, the bankruptcy of the Digital Currency Group could have even more significant consequences for the cryptocurrency industry than the fall of FTX, as many digital enterprises will be deprived of the opportunity to raise additional capital. Community members understand this danger and are creating a fund under the auspices of the Binance exchange to support companies affected by the crisis. The total amount of funds allocated for this may reach several billion dollars, but whether they will help stabilize the market is still unknown.

Most analysts expect that BTC will continue to decline in the medium term, and the most negative scenario suggests that its price may drop to around 7000.00.


The trading instrument tends to 15700.00 (an area of ​​the year’s lows), the breakdown of which will give the prospect of further decline to 15000.00 (Murrey level [0/8]), 13750.00 (Murrey level [–1/8]). In case of the breakout of 17500.00 (Murrey level [6/8], the upper line of Bollinger bands), it will be possible to resume growth around ​​19100.00 (Fibonacci correction 38.2%) and 20000.00 (Murrey level [4/8], Fibonacci correction 50.0 %).

Technical indicators do not give a single signal: Bollinger bands are directed downwards but are narrowing, as happens before a serious price movement, Stochastic is downwards, and the MACD is decreasing in the negative zone.

Resistance levels: 17500.00, 19100.00, 20000.00. | Support levels: 15700.00, 15000.00, 13750.00.



Find Us
First Floor, First St Vincent Bank LTD Building James Street Kingstown St Vincent and the Grenadines
Call Us
+1 415 367 3742


Solid ECN Securities is an international brand formed and authorized in Saint Vincent and the Grenadines with the registration number 1390 LLC 2021 committed to offering the best possible trading experience. Disclosure: Please note that foreign exchange and other leveraged trading involve a significant risk of loss. It is not fit for all investors and you should make sure you realize the risks involved, seeking independent advice if necessary.
Solid ECN Securities and it affiliates don't accept applications from Indonesia, Egypt, Australia, Bonaire, Curaçao, East Timor, Liberia, Saipan, Russia, Sint Eustatius, Tahiti, Turkey, Guinea-Bissau, South Sudan and other restricted countries.
Copyright All Right Reserved 2023 SolidECN.com