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Investing.com – Amid negative developments in the case of crypto platform FTX and its crypto FTT, the broader cryptocurrency market broadly deepened its plunge last night, with the market hitting a new yearly low at $15,600, in lowest since November 2020. Ironically, this violent fall also occurred on the day of the first anniversary of the all-time high of BTC/USD at over $68,000.
At the time of writing, the shows a drop of 8.5% in 1 day and more than 18% in 7 days. From Sunday’s peak at $21,450, Bitcoin was off last night’s low by 27%. Compared to the high of November 2021, the BTC plunge is now over 77%.
>> Read also: Why is it falling much more than other cryptocurrencies in the face of the FTX affair?
Binance backs out of FTX buyback, Bitcoin crashes to new yearly low
Remember that the cryptocurrency market, and in the first place Bitcoin, is affected this week by the debacle of the crypto platform FTX, which seems to be heading straight for bankruptcy, which has led to a collapse of more than 90% of its crypto. FTX Token (FTT).
In a few days, many twists and turns were seen, starting with a Coindesk article which revealed last weekend that Alameda Research, the trading company of FTX boss Sam Bankman Fried, had invested heavily in the FTX Token, revelations that led Binance boss “CZ” to announce that his company was going to liquidate its massive position in the FTX Token.
The fall then greatly worsened, and began to impact the entire cryptocurrency market. Then, investors were briefly reassured by a supposed deal to buy FTX from Binance.
But soon investors doubted the certainty of the deal, doubts that were confirmed last night when Binance has announced that it will ultimately not proceed the takeover of FTX, which led to a further collapse of the cryptocurrency market, with a new yearly low for Bitcoin as we previously pointed out.
Technical thresholds to watch on Bitcoin
At the time of writing, Bitcoin has managed to rally back to $16,500, so the $16,000 psychological threshold can be seen as immediate support, ahead of yesterday’s low at $15,600 and the key psychological threshold of $16,000. $15,000.
On the upside, several former supports are found in the $17,600-18,600 area. Then, the $20,000 threshold could be targeted, before the 100-day moving average at $20,460, then last weekend’s peak at $21,450