Analyst Gives 3 Reasons Why Bitcoin Could Bounce Back from $10K

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As Bitcoin plunged from near $10,500 to below $10,000 within a week, many compared its fall to the one from March 2020. Five months back, a liquidity crisis has caused a severe crash across the global markets. Bitcoin, too, came under the storm as traders with exposure in the cryptocurrency sold it to seek cash, either for personal holdings or to cover their margin positions. BTC/USD, as a result, fell 60 percent in just two days of trading. But with the intervention of central banks and governments, upside sentiment came back on the track. Lower interest rates, open-ended bond-buying programs, and quantitative easing led liquidity back into the stock and safe-haven markets. Bitcoin benefited with a remarkable 200 percent rally from its mid-March nadir at $3,858. Bitcoin is risking a breakdown move below its long-held support at the 50-week moving average. Source: TradingView.com But now, the benchmark cryptocurrency is giving…

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