Crypto in Zugzwang: When Every Market Move Tightens the Noose
On Wednesday evening, Bitcoin saw another round of sell-offs as the market attempted to break above $90K, failing yet again to return above the 50-day moving average. This curve is gradually turning downwards, further strengthening the bearish arguments. On the other hand, BTC has not yet begun an active decline after consolidation. A formal signal for the start could be a break of support near $85K.
An important question is whether a sharp downturn in metals will help cryptocurrencies by restoring interest in them, or whether it will cause even more damage. We lean towards the latter due to the potential for deleveraging, which is…
