The price of the first cryptocurrency has fallen below the $30,000 level amid a surge in trading volume (on the Bitstamp exchange).
On the night of January 22, quotes have already collapsed to the level of $28,800, but at the end of the week, the cryptocurrency held the psychologically important mark. But experts have not ruled out a new fall.
CryptoQuant CEO Ki Yong Ju pointed to the „Coinbase index“, which was above 50 during the rise in quotations and dropped below -122 on Friday. In his view, this indicates a sell-off in cryptocurrency by large investors. While previously the head of CryptoQuant was confident that the whales would not allow the price to fall below $30,000 because many invested at close levels, with this value allowed for a deeper fall.
Analysts have also noted a significant decline in the Grayscale Bitcoin Revolution Bitcoin Trust (GBTC) share price premium over the past month, from 38% to values of less than 3%. In their view, this could indicate a sell-off of the bitcoin-based investment vehicle by institutional investors, who are the main buyers of the trust’s securities.
As a reminder, Guggenheim Partners investment director Scott Minerd predicted that the digital gold price would fall to the $20,000 level. In his view, bitcoin has peaked in market value this year, occurring on 8 January.