On 7th January 2025, the Crypto market started to fall very sharply from 101,000 to almost touching its support level at $93000 to $93500, almost crashing over 5%. Let us understand why,
let's view the technical side of the crash, if you see the below image, this is the chart of BTCUSDT in the 4HR timeframe, the price is continuously rejecting from $101904 to $102000.
Price took the liquidity from buyer and seller who were holding some short position and saw a sharp declining move.
when BTC falls all the altcoins crash heavily and we saw the same. all the other altcoins fell almost 5% - 10%. The next support is almost around $87000, if it were to test all the alt coins would heavily crash.
Usually after a fall in terms of technical parameter we can see other support zone and predict from where the BTC will take next support. but this time not only technical but also fundamental parameters were involved in this crash.
Let's understand the fundamental part also, on the 7th Januray 2025 there were 2 major news
- ISM Services PMI
- JOLTS Job Openings
ISM Servies PMI saw a positive jump from 52.1 to 54.1 and JOLTS also saw positive data from 7.84M to 8.10M.
This is not a financial advice reader/viewers are advised to do their own research for investment. I will not be responsible for any loss.
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