Bitcoin falls on profit-taking selling

Over $500 million in profit-taking selling pressure, more than 3 times in a day
BTC touches $105,000... Altcoins show mixed trends
Arthur Hayes: "BTC to reach $250,000 this year due to dollar weakness"

Bitcoin (BTC) declined on the 4th due to investor selling pressure following the disappearance of positive factors.

After Bitcoin set new highs consecutively last week, the analysis suggests that investors have started selling as positive factors have been exhausted. Cryptocurrency media CoinDesk explained that "Bitcoin price has seen increased profit-taking activities by holders after showing key strong signals two weeks ago".

On-chain analysis platform Glassnode shared the same opinion. Glassnode stated, "Over the past 24 hours, 'Entity-adjusted Realized Profit' exceeded $500 million three times per hour," indicating "a very strong profit-taking movement".

As Bitcoin dropped to $105,000, most altcoins showed mixed trends. Many altcoins repeatedly rose and fell within 1% throughout the day.

◇Bitcoin = At 4 PM on the 4th, Bitcoin price on Upbit was 146,590,000 won. Bitcoin dominance was 64.01%.

According to on-chain analysis platform Sigbit, the long and short betting ratio in the Bitcoin futures market was 50.01% and 49.99% respectively.

Despite the decline, Bitcoin's long-term outlook remains bright.

Arthur Hayes, CEO of BitMEX, forecast that Bitcoin could rise to $250,000 this year.

Arthur Hayes said, "Although the Trump administration does not directly target a weak dollar policy, a weak dollar will inevitably follow in the process of reducing trade deficits," and "Foreign investors holding dollar-denominated assets like US stocks will be concerned about exchange rate losses".

He added, "Investors worried about exchange rate losses will eventually move funds to domestic assets, gold, and Bitcoin," and "If domestic assets are not attractive, global funds will inevitably concentrate on gold and Bitcoin".

◇Rising Coins = At 4 PM on the 4th, the cryptocurrency with the largest increase compared to the previous trading day was ICON (ICX), rising by about 15%.

ICON (ICX) is a cryptocurrency that connects different blockchains. Iconloop participated in technical development, and ICON is a representative cryptocurrency using the Interchain Algorithm to connect different blockchains.

ICON was designed to create a decentralized network by connecting various field networks through loopchain technology. The goal is to eliminate blockchain borders in finance, healthcare, public sectors, and e-commerce.

◇Fear and Greed Index = The digital asset Fear and Greed Index provided by Alternative is 62 points, entering the 'Greed' stage. The greed stage is a period with increased price volatility and trading volume, indicating a potential price increase. Caution is advised for selling as the possibility of short-term peak formation is high.

The Relative Strength Index (RSI) provided by Sigbit is 49.4, recording a 'neutral' state. RSI determines the relative strength between upward and downward pressure of a specific asset price and indicates the measure of overbought and oversold conditions.

Reporter Seung-won Kwon ksw@blockstreet.co.kr