$20,000 slips from Bitcoin bulls’ grasp ahead of a tough week for stocks

View in browser $20,000 slips from Bitcoin bulls' grasp ahead of a tough week for stocks "Can't believe Bitcoin is still trading at these prices. The longer we stay here, the more explosive the move upwards is going to be." — Samson Mow Welcome to the Cointelegraph Markets weekly newsletter, where we look at the influential factors behind Bitcoin price action for the days ahead. A week can make a world of difference in crypto markets, and the last full week of August has done just that — to bulls' detriment. The latest weekly close sealed $2,000 of losses for BTC/USD, adding to $3,000 the week before and squeezing hodlers to levels not seen since July. With practically a whole month's gains now wiped out, the mood is decisively fearful as market participants gear up for September — historically a month of losses. As warnings of a retest of June's $17,600 begin flowing in, the status quo for Bitcoin's correlation with stocks looks set to endure. At the same time, the U.S. dollar is seeing unprecedented gains. With no cues from the United States Federal Reserve due until the middle of next month, Cointelegraph takes a look at the potential BTC price catalysts for the coming days. Continue reading to discover five would-be triggers for Bitcoin volatility as "Septembear" begins. Weekly close abandons $20,000 support It's safe to say that things didn't go well for Bitcoin bulls at this week's close. BTC/USD ended Aug. 29 at its lowest levels since July, a far cry from this month's highs above $25,000. What happens next, traders warn, most likely involves a move closer to the multi-year lows seen in June. Stocks fail to convince bears As Bitcoin suffers, so do global stocks — last week's Federal Reserve speech removed $2 trillion from the world's equity value. That was thanks to Fed Chair Jerome Powell, who dispelled any hopes that the Fed would reverse rate hikes in the near future. Now, commentators are favoring a fresh drop for U.S. indexes this week, but not everyone believes that this means a bearish trend. DXY bounces back to 2002 When risk assets falter, the U.S. dollar is there to pick up the slack — a trend as strong now as at any time in 2022. The U.S. dollar index (DXY) — typically inversely correlated with crypto price action — has already hit new 20-year highs this week. It's not just Bitcoin suffering as a result — the embattled euro is back below parity with the greenback. MVRV-Z sets up price bottom pattern A silver lining for long-term BTC hodlers could come in the form of an age-old Bitcoin top and bottom marker in September. The MVRV-Z Score, long predicting a new macro bottom is near, is heading deeper into its profitable "buy" zone. In July, when it first hit the zone of interest to analysts, MVRV-Z suggested that Bitcoin could bottom at around $15,600. Feel the fear! Not just fear, but extreme fear — that's the latest measure of crypto market sentiment as per the Crypto Fear & Greed Index. Down from 47/100 just weeks ago, Fear & Greed is now at 24/100 and heading lower in step with BTC price losses. Data showing the growth in whale wallets nonetheless suggests that not everyone cares about the short term. 3.5 million people follow us on social media: Download our official app: Share to Facebook Share to Twitter Forward email Cointelegraph 21 W 46th St, New York, NY 10036-4119, USA You received this email because you signed up on our website. Unsubscribe