Bitcoin Heads Towards Sub-$30,000

On Saturday, Bitcoin (BTC) and the broader market were back in the red. Bitcoin fell below $35,000 for the first time since July 25th after a fourth consecutive day in the red.

Bitcoin fell 3.82 percent on the day, closing at $35,076. It didn’t get any better elsewhere. Ethereum (ETH) fell 6.12 percent after falling 14.4 percent on Friday. Cardano (ADA) performed slightly better, falling by only 4.46 percent on Saturday. After losing $200 billion on Friday, the crypto market cap fell another $85 billion on Saturday. At the time of writing, the total market capitalization was $1,611 billion. The total market cap reached an all-time high of $3,009 billion in November before plummeting to a current month’s low of $1,514 billion.

Key Market Drivers

The key drivers continue to be market sentiment toward FED monetary policy and regulatory chatter and activity.

While the markets in the United States are closed for the weekend, there has been no positive news to shift market sentiment. With the Fed meeting on Wednesday, dip buyers may choose to remain on the sidelines. While markets have begun to price in four rate hikes this year, nothing is certain. The Fed’s rate announcement and press conference on Wednesday will provide insight into what lies ahead for the rest of the year.

Bitcoin Price Action

Bitcoin was up 0.90 percent to $35,392 at the time of writing. To support a run at Saturday’s high of $36,812, Bitcoin would need to avoid a fall through today’s pivot of $35,339. However, a shift in sentiment is required for Bitcoin to break through the day’s first significant resistance level at $36,549.

If the price fell through the day’s pivot, a break below $34,000 and the first major support level at $33,867 would be in play. However, in the event of a prolonged sell-off, support at $30,000 could come into play. The lack of regulatory chatter may provide some respite for Bitcoin and the broader market early in the day.