If you are interested in the field of economics or finance, you will most likely have heard of crypto-currencies. These are digitized assets that are usually based on a technology called blockchain. Among the many currencies that exist in the crypto sector, bitcoin tops the list. Read this article to learn more about this virtual token.
What is bitcoin ?
Bitcoin is a virtual monetary asset not issued and governed by a banking authority like traditional currencies. Instead, it is issued on the blockchain protocol of the same name. This token was created by an unidentified person whose pseudonym is Satoshi Nakamoto in 2009. Having reached an ATH of $69,045 last November, the value of bitcoin has fallen in the first 6 months of this year. Its price is now hovering around the $20,000 mark. This state of affairs gives rise to several news items that are in the news.
First of all, this digital currency and the crypto-currency market in general came under great selling pressure last weekend. These heavy liquidations occurred following the Fed’s Jackson Hole meeting. During the meeting, Chairman Jerome Powell stated that aggressive tightening measures will be taken to strengthen the fight against inflation.
Since the beginning of the second half of June, Bitcoin’s performance has raised hopes of a major bullish rally. Unfortunately, this rise has a limited nature, leading one to believe that something else might be happening. Indeed, a technical analysis of the price of the mother of all cryptocurrencies reveals that a bearish flag is likely to form. The chances of this pattern appearing are bolstered by a $3 billion sale in Bitcoin. This may cause Bitcoin to plunge in the coming weeks.