Possible Bitcoin Price Plunge Amid Market Instability and Grayscale's Continuous Sell-offs

By: Isha Das

The cryptocurrency market is under notable strain as the digital token, FTT, experienced an 11% surge while Bitcoin faces a risky drop in value. Behind the scenes, Grayscale, the entity behind the Grayscale Bitcoin Trust, potentially contributes to the market turmoil by continuing its massive selling activities.

According to recent data, Grayscale transferred an added 8,593,075 BTC (entailing about $335.19 million) to the U.S.-based crypto platform, which could indicate more selling possibilities, affecting the trading landscape. Notably, Bitcoin's value experienced a serious decline in a week and a half, going down to $38,500 at lowest.

While the cryptocurrency demonstrates resilience with a slight rebound to $39,300, further selling tendencies from Grayscale and negative market sentiment could send Bitcoin revisiting the $30,000 mark. This particular figure preceded Bitcoin's bull run peak of $49,000 in January.

Meanwhile, market spectators keep a close eye on possible resistance at $37,750. If the Bitcoin price continues its downward turn, bull market spectators could see key resistance levels of $29,000 to $30,000. Any further decline could end the current bull market structure and Sly cryptocurrency bears might dominate the mid-term market until the expected halving event in April.