Bitcoin price remains under downward pressure in the medium term

Bitcoin price started on a strong note in 2021, rising nearly 40% in the first week of January and hitting a new all-time high of around $ 40,000. But not everyone believes that the rally can be held as it is now. At the time of writing, BTC is changing hands at $ 46,747.

BTC / USD 4-hour chart | Source: TradingView

Bitcoin and cryptocurrency prices are falling in light trading

Bitcoin, Ether barely moved on Monday as the market expected very high volatility until the end of the year. Terra (LUNA) has continued its impressive upward momentum since last week.

The crypto market is slowly recovering some of the losses from the decline during the Asian hours. However, most of the top cryptocurrencies have fallen in the last 24 hours at press time. At the time of publication, Bitcoin was changing hands below $ 47,000, a slight decrease. Ether is also red.

“Bitcoin continued to hover at $ 46,000 earlier in the week. Compare the price history with the S&P 500 and gold, which all fell in line. This is not the extent of Black Thursday, but something to keep in mind given the fear of Covid19, ”Santiment said.

The source: Mood / Twitter

Bitcoin saw short-term momentum neutralized as it consolidated above the initial support near $ 44,200. The top cryptocurrency is still under downward pressure in the medium term, as the charts show that the oldest cryptocurrency is not yet oversold.

At the same time, the Bitcoin trading volume on the major centralized exchanges remains low. Many investors remain bullish over the long term, and uncertainty about possible short-term levels is making many traders wait for Bitcoin to drop to the $ 40,000 level.

Terra (LUNA) has continued to rebound in the altcoin market since last week, hitting a new all-time high of over $ 82. According to data from Defi Llama, the total value locked on Terra has exceeded the total value of the Binance Clever Chain (BSC) to date. Shiba Inu is up more than 5% in the past 24 hours.

The total capitalization of the crypto market is $ 2.180 trillion and bitcoin dominance is 40.5%.