The collapse of the encryption market continued today, on August 29, with the double liquidation, the scale of inflation in the preferred federal reserve field, and formed Bitcoin a risk style.
summary
- The collapse of the encryption market gained momentum when the qualifiers jumped.
- American data showed that inflation remained sticky in July.
- Bitcoin price has a risk planned style.
Bitcoin (BTC) fell from the important support level at $ 110,000 for the first time in weeks, while the market value of all cryptocurrencies decreased to $ 3.78 trillion.
The collapse of the encryption market caused by the increased liquidation
One of the main reasons behind Bitcoin and Altcoins today is that the liquidation rises by 102 % in the past 24 hours to 529 million dollars, while the open interest has been above 200 billion dollars.
Bullish Ethereum (ETH) jumped to $ 190 million, while Bitcoin and Solana (Sol) rose to more than $ 40 million in this period. References occur when encryption exchanges such as Binance and OKX are forced to close the deals of loss to protect their capital.
Strong closure often encrypted and manual profit among merchants increases the pressure pressure and withdrawing prices.
Bitcoin and cookies fall with high inflation
Meanwhile, the macro data released today shows that inflation in the United States remained raised stubbornly in July. The basic personal consumption expenses that were closely seen by 0.3 % increased in July, while the main number increased by 0.2 %.
This increase translated into an annual increase of 2.9 % and 2.6 %, respectively. These numbers are higher than the 2.0 % Federal Reserve.
It is still, The Federal Reserve is likely to Continue to reduce the interest rate of honesty in the interest rate decision in September, now focusing on the labor market.
These inflation numbers also explain the reason for the decline in S&P 500 and NASDAQ 100 indicators.
The risky bitcoin price pattern explains the encryption crash
In addition, there is a permanent risk that Bitcoin can be about to move to the bear market. These concerns are based on the formation of a falling wheelchair and a declining reverse pattern on the weekly graph.
Sufficing pattern occurs a height when the original forms close directional lines ascending. In the Bitcoin case, these trends have been formed for several months and are now close to their meeting.
Macd and the relative power index have continued to decline even with Bitcoin’s rise in the past few months. Therefore, bitcoin is more likely to fall, which will pull other altcoins.
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