A bizarre feel of deja vu pervades crypto markets as Black Friday supplies a rare buying opportunity right on cue.
Bitcoin (BTC) can also be down 20% from all-time highs, however this is a golden possibility to “buy the dip,” analysts argue.
Black Friday is living up to its identify in crypto this yr as each Bitcoin and many altcoins exchange at their lowest in six weeks.
Misgivings over $53,000 floor
After an overnight sell-off sparked with the aid of a declining dollar and macro markets rattled with the aid of a new Coronavirus variant, BTC/USD is buying and selling near $54,000.
As mainstream media spotlight the fall, others are far from concerned, then again — modern costs arguably provide a golden entry opportunity.
— Material Scientist (@Mtrl_Scientist) November 26, 2021
On momentary targets, famous trader and podcast host Scott Melker warned over going with the herd watching for even lower degrees to buy.
“We all apparently desire to see 53K, which usually capacity we get the front run at 53.5K or rate nukes straight thru and we HFSP,” he tweeted.
“The crowd not often gets what it wants.”
In a sign that selling is likely now not but over, funding quotes throughout exchanges continue to be increased regardless of 24-hour liquidations nearing $700 million.
Remember ultimate Black Friday?
Melker meanwhile additionally pointed to the unusual correlation between the U.S. greenback and Bitcoin thanks notionally to the virus jolt.
Related: Bitcoin hits 6-week lows in hours as 24-hour crypto liquidations near $650M
As Cointelegraph often notes, Bitcoin tends to showcase inverse correlation with USD, the latter having snapped a long triumphing streak Friday.
Far from fuelling Bitcoin’s strength, however, the largest cryptocurrency has fallen in step with both macro markets and the U.S. dollar currency index (DXY).
Dollar down, gold up, Bitcoin down, stocks down.
Good luck solving that correlation today.
— The Wolf Of All Streets (@scottmelker) November 26, 2021
Standing in the way of in addition losses on Bitcoin is a heavy block of consumer aid at $53,000 — roughly the vicinity which corresponds to Bitcoin’s $1 trillion market cap.
Meanwhile, historical records serves as a well timed reminder that Black Friday bargains are something of a common theme for Bitcoin.
In late November 2020, BTC/USD dipped to round $16,400 — solely to then go on to handle and beat out $20,000 for the first time in three years.
Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.