Bitcoin retreats to $91,000, momentum for early-year rally weakens

Source: BlockMedia Original Title: [Coin Market] Post-Rally Pause at the Start of the Year…Bitcoin Retreats Below $91,000 Original Link: https://www.blockmedia.co.kr/archives/1029909 The digital asset market, which had continued its upward trend since the beginning of the new year, has entered a correction phase amid mixed US stock market signals. Bitcoin fell to around $91,000, showing weakness. As US economic indicators show mixed results and geopolitical uncertainties become more prominent, there are assessments that the momentum of the risk asset rally at the start of the year is weakening.

As of the morning of the 8th, Bitcoin(BTC) was traded at 133.11 million won, down 2.34% from 9 a.m. the previous day, on domestic digital asset exchanges. On global exchanges, it recorded a 2.31% decline to $91,390. At the same time, Ethereum fell 3.68% to $3,170, and XRP(XRP) was traded at $2.18, down 5.4%.

In the past 24 hours, approximately $74.83 million worth of positions were liquidated in Bitcoin. Of these, about 88.01% were long(buy) positions. Overall, the digital asset market experienced $29.615 million in liquidations.

US stock markets closed mixed, with most stocks showing weakness amid limited gains centered on tech stocks. The Dow Jones Industrial Average closed down 0.94% at 48,996.08. The S&P 500 index fell 0.34% to 6,920.93, while the Nasdaq rose 0.16% to 23,584.27.

Financial and energy stocks, which had shown strength at the start of the year, fell over 1% during the trading day, and major bank stocks also declined.

Companies holding digital assets as financial assets did not show a clear rebound. US economic indicators also showed mixed signals. The December services activity index recorded its fastest expansion in over a year, but employment growth remained relatively moderate. The market has already priced in the possibility of two 0.25 percentage point rate cuts this year, and the December non-farm payrolls report is seen as a key variable for future market direction.

Amid this mixed market, Bitcoin prices are under downward pressure. Some market analysts suggest that it will not be easy to surpass the all-time high again within this year. One analyst stated, “Several sell signals are being detected on Bitcoin’s long-term chart,” and “If the current rebound momentum weakens, there is a high possibility that prices will fall again.”

“The current price movement is in a phase where buying and selling forces are battling each other,” they added, “Re-testing the $87,500 level is just a matter of time.”

The fear and greed index, which reflects investor sentiment in the digital asset market, slightly declined to 42 from 44 the previous day. The index indicates that the closer to 0, the stronger the sell sentiment, and the closer to 100, the stronger the buy sentiment.