Is $40K Bitcoin the new $10K? BTC holds $43K support as exchange Bitfinex halts trading. Bitfinex is momentarily shut down due to an unanticipated glitch, reversing profits.
On September 30, Bitcoin (BTC) lost overnight gains due to a widespread outage at Bitfinex, a prominent cryptocurrency exchange.
Bitfinex is looking into the mysterious shutdown
Following the announcement, BTC/USD dropped below $43,000 on Bitstamp, after reaching local highs around $43,800.
Because the source of the problem was unclear at the time of publishing, traders were left in the opaqueness corner. As an already volatile cryptocurrency market retreated to established support.
As part of its most recent service update, Bitfinex stated, “We are examining platform difficulties and have to tentatively suspend trading”.
Binance, the world’s largest by volume, had suspended trading for two hours on Tuesday as part of routine maintenance, with no noticeable influence on BTC price activity.
Thursday already shaping up to be a volatile day. However, Bitcoin appeared to be on track to end September nearly precisely at its anticipated “worst-case scenario” price of $43,000.
As a result, the world’s most valuable cryptocurrency would confirm forecasts made by PlanB, the developer of the stock-to-flow model. Who also predicted the August close of $47,000.
Meanwhile, Rekt Capital, a fellow trader and analyst, emphasised the importance of BTC/USD retrieving its 21-week exponential moving average level (EMA) before the end of Sunday to maintain overall positive momentum.
Market imitates $10,000 BTC from September 2020
Despite recent market volatility, the odds remain in favour of a significant return to form in the next weeks and months, especially when compared to the same period in 2020.
Cole Garner noticed that the huge block of buyer support right around $40,000 was reminiscent of the order book configurations when BTC/USD was at $10,000 in September last year.
Long-time commentator Bobby Lee predicted a fresh “FOMO rally” for Bitcoin this week, predicting not only $100,000 in the mid-term but as high as $200,000 or more.