In the past 24 hours, the total crypto market cap, led by Bitcoin (BTC), dropped nearly 3 percent to hover around $2.11 trillion. After closing last month below the critical support range, Bitcoin price started the month with a bearish outlook.
Investors Flee to Stablecoins
Bitcoin's price continued to drop, reaching $57,343 on the first day of September. This resulted in more than $161 million being liquidated from leveraged markets. On-chain data shows an increase in investors moving their funds to stablecoins to protect capital. Bitcoin's fear and greed index dropped to 26 percent, indicating extreme fear of further price declines.
Midterm Expectations
After closing last week below crucial support levels, Bitcoin is expected to continue a bearish trend. Historical data shows that September tends to be a weak month for Bitcoin, especially after halving events.
Analysis
Analysts predict a further drop in Bitcoin's price to the liquidity range between $38k and $43k.
Current data and analysis suggest that Bitcoin's price will continue to decline in the near future. Investors are moving to stablecoins to safeguard their assets amidst fears of further market drops.
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