Bitcoin briefly dips below $40,000 for first time this year

Bitcoin briefly dips below $40,000 for the first time this year

Bitcoin briefly dips below $40,000 for first time this year

Bitcoin briefly dips below $40,000 for the first time this year

Bitcoin extended its decline on Monday, breaching the $40,000 mark for the first time this year and dragging down the entire cryptocurrency market in its wake.

As per Coin Metrics, the current price of BTC stands at $40,052.76, marking a 3.9% decrease. At its lowest point during the day, bitcoin reached $39,414.80, a level not seen since December 3. Concurrently, Ether also experienced a 5% drop, settling at $2,333.00.

Bitcoin is still in its correction phase following the launch of several spot bitcoin exchange-traded funds in the U.S

The ongoing correction phase for BTC traces back to the introduction of several spot bitcoin exchange-traded funds (ETFs) in the United States. In the anticipation of regulatory approval from the U.S. Securities and Exchange Commission (SEC), investors had been accumulating BTC in the preceding months.

Sylvia Jablonski, CEO and chief investment officer at Defiance ETFs, commented on the market movement, stating, “Today’s BTC move is wholly expected. It looks like a ‘sell-the-news’ pullback, before we see the cryptocurrency recapturing its bullish trajectory.” Since the SEC approval on January 10, BTC has seen a 14% decline, while Ether, which has been outperforming bitcoin, is still up 3% over the same period.

Chart analysts caution that although bitcoin’s long-term uptrend remains intact, there may be further downside. Katie Stockton from Fairlead Strategies suggested on CNBC’s “Squawk Box” that BTC could potentially dip to as low as $36,000, with the reassurance that this level wouldn’t be sustained for an extended period. Rob Ginsberg from Wolfe echoed a cautious sentiment, indicating that this could be the start of a challenging first quarter for the cryptocurrency.

The broader cryptocurrency market experienced significant declines on Monday. Solana’s SOL token witnessed a 7% loss, Ripple’s XRP fell by 4%, and the token associated with the decentralized finance (DeFi) protocol Uniswap dropped by 5%.

Jason Stone

Jason Stone

Jason Stone is a serial entrepreneur with multiple 7 figure business ventures across various verticals of web and marketing. He is widely known by over 7 million people around the world as @Millionaire_Mentor on Instagram. Jason utilizes his experience and passion as a motivator, mentor, teacher, and social media influencer to help others create success. Jason Stone is an accomplished Senior Executive, Consultant, and Thought Leader with more than 20 years of success across the engineering, e-commerce, social media, internet, marketing, advertising, technology, automotive, blockchain, franchising, and health and wellness industries. He is an early-stage startup tech investor/advisor to over a dozen companies. Leveraging extensive experience creating go-to-market strategies and viral marketing, he is a valuable advisor for an organization experiencing growth or launching new products. His broad areas of expertise include business development, mechanical engineering, global strategy, email marketing, digital marketing, automation, blockchain, organizational leadership, and growth hacking. t
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