Bitcoin plummets to the $86,000 range... Rally threatened until the end of the year.

Source: DigitalToday Original Title: Bitcoin Plummets to $86,000 Range… Rally Threatened Until Year-End Original Link:

Bitcoin is falling to the $86,000 range, causing volatility in the overall market.

According to blockchain media on the 1st, this decline is analyzed as a result of increasing concerns about tightening in the global market due to the rising possibility of interest rate hikes by the Bank of Japan(BOJ).

Bitcoin has dropped 4.94% over the past 24 hours, falling about 30% from its recent peak. As a result, large-scale liquidations occurred in the derivatives market, with long and short positions totaling $641 million being liquidated. In particular, $188.5 million was liquidated from Bitcoin long positions, while Ethereum also saw $139.6 million in long positions liquidated.

Experts have cited the possibility of a BOJ interest rate hike as the reason for the recent decline. As the likelihood of the BOJ raising interest rates on December 18-19 increases, the yen carry trade is being reduced, which negatively affects risk assets such as cryptocurrencies. The co-founder of BitMEX analyzed that “the decline in Bitcoin is due to the possibility of a BOJ interest rate hike.”

According to technical analysis, Bitcoin could fall to $67,700 by the end of the year. Veteran traders suggested that “Bitcoin will find support in the $45,000 to $70,000 range,” indicating the possibility of further declines.

Meanwhile, Bitcoin is showing a decline pattern similar to that of 2022, and it is expected that more time will be needed before a full rebound occurs.