Bitcoin tumbled below $21,000 for the first time since December 2020 as financial conditions worsen and investors dump risk assets. The token has fallen below its realized price ($22,907), an on-chain metric for the average price of all tokens in circulation, which has historically served as a leading signal for market bottoms (see quantitative section).
Leading crypto lending service Celsius paused withdrawals amid “extreme market conditions.” Check out Alex’s section for our take on the situation.
According to a study from PwC, 38% of traditional hedge funds are investing in digital assets, up from 21% in 2021. The study also revealed that volatility in the sector has not deterred funds from investing in digital assets.
Bitcoin’s accumulation score remains at 90% as investors with less than 1 and more than 10,000 Bitcoin tokens have ramped up accumulation in the $25,000 to $32,000 range.
According to Bloomberg, the European Union is nearing an agreement to regulate cryptocurrencies. The regulation is expected to focus on financial stability, investor protection, environmental impacts of Bitcoin mining, and more.