Bitcoin Holds Support at US $22000 as Cryptos Slump Briefly

SNEAK PEEK:

• Bitcoin Holds Support at US $22000.
• According to a note by Arcane Research, Bitcoin may be reentering a slumber.
• There were indications of decreased institutional involvement.

According to Bitcoin`s price analysis by MMCrypto, an insight provider, the largest cryptocurrency is currently holding support at $22000. According to him, Bitcoin cannot fall below $22,000.

#BTC!! HUGE FUD!!! [price target] pic.twitter.com/YQbHtmujDv

— MMCrypto (@MMCrypto) March 3, 2023

This follows a selloff caused by the troubled Silvergate Bank; cryptocurrency markets experienced a period of sideways trading on February 15 as Bitcoin stayed close to $22,000.

In Singapore, the biggest token decreased by less than 1%. Smaller coins like Ether, Cardano, and Binance Coin also had minimal change. Recent US actions, such as banning the issuance of BUSD, a stablecoin with the Binance brand, have also sparked new uncertainties for digital assets. 

The limits are one of the reasons why the recovery in cryptocurrency from the crash of 2022 has faltered.

Crypto observers are watching how the $138 billion stablecoin market shakes out. These tokens are designed to store a fixed amount, like $1. It is important to note that while switching between cryptocurrency trades, investors frequently store money in them.

On the other hand, Bitcoin may be “reentering a slumber,” according to a note by Arcane Research’s director, Bendik Schei. He claimed there were indications of decreased institutional involvement, such as a decline in open interest for futures offered by CME Group Inc.

Given the history of abrupt blowups in the business, the US action against the stablecoin brought attention to the prospects for CZ Zhao`s exchange, Binance. Zhao tried to reassure investors about the health of his exchange and stated on Tuesday that the cryptocurrency market might shift away from dollar-linked stablecoins.