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Bitcoin falls below $40,000

Bitcoin (BTC) price fell from the $40,000 support held last week. This marks a new minimum for 2024 in the $39,000 range.

This can be seen in the graphic below. TradingViewwhere it is trading at $39,700 at the time of writing.

This decline comes after several moves towards $40,000 last week that showed weakness in demand and the possible loss of this support.

Selling pressure is growing following the launch of Bitcoin spot ETFs

In fact, Bitcoin price has been falling over the past two weeks after reaching $49,000, its high in two years. This figure was achieved following the launch of digital currency exchange-traded funds (ETFs) in the United States.

The introduction of these ETFs led to a profit-taking scenario, which pushed the price lower after waiting boosted demand for the asset. As CriptoNoticias reported, this strategy is known as “buying rumors and selling news.”

This contributed to the Bitcoin market currently experiencing its longest profit-taking period in three years.

Likewise, since the introduction of ETFs, the largest of them, Grayscale Bitcoin Trust (GBTC), has has seen daily outflows worth millions of dollars, forcing it to part with thousands of Bitcoin. This also creates downward pressure on the price.

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