Altcoins Sell off As Bitcoin Price Falls to $38K ‘Macro Level Support’

As tech stocks sold off, bitcoin price fell below $38,000, with traders cautiously watching to see if BTC could hold on to its “macro-level support” zone.

The cryptocurrency market and wider global financial markets fell under pressure on April 26 after the hype surrounding Elon Musk’s purchase of Twitter began to fade and concerns about the state of the global economy took the forefront again.

Tech-related stocks were some of the hardest-hit assets on April 26 and this pullback was followed by sharp declines in crypto prices as risk assets become persona non grata in these turbulent markets.

Data shows that after holding support at $40,500 through the early trading hours on April 26, the price of Bitcoin (BTC) dumped 6.21% in afternoon trading to hit a low of $38,009.

April 26’s price action looks to be a continuation of the weakness seen across financial markets this month, and month-to-date, the S&P 500 is down by 7%, while the Nasdaq declined 11% and the Dow is nursing a 3% loss.

The bearish trend in FAANG stocks has essentially been a weight that has dragged down the wider market and the recent 35% decline in the price of Netflix on April 20 highlighted a major kink in the “strong markets” narrative.

The fate of the market may depend on how the dollar moves amid rising inflation, ongoing supply chain disruptions and global conflict in Europe..

The overall cryptocurrency market cap is currently $1.605 trillion, with Bitcoin dominance at 45.5%.

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