Bitcoin (BTC) traded below $20,000 on September 3, 2022, as commodities dropped on news of a G7 Russian energy ban.
Support seems to have slipped from the grasp of Bitcoin bulls are “Septembear” delivers its first signs of a classic downside.
Everything Down After A Gloomy Macro Week
Data acquired from TradingView showed continuing lackluster performance on BTC/USD that traded at around $19,800. The biggest crypto appeared majorly unable to flip the $20,000 to strengthen support as the weekend started, and the mood among market participants was worn-out.
Looking at the 8-day exponential moving average (EMA), popular trader Cheds saw its strength as intraday resistance continues into September.
— Cheds (@BigCheds) September 2, 2022
The US equities closed out a troublesome week, the S&P 500 down 2.7% and NASDAQ Composite Index 3.25%, respectively.
The prices of oil dropped in Europe on the announcement of a Russian price cap possibly taking shape at the end of 2022, despite the effects tied to price surges in case Russia itself retaliate.
German Electricity and Gas prices keep crashing. Gas now €218/MWh, down 38% from ATH, 1y Power Price now €508/MWh, down 52% from ATH. pic.twitter.com/1pPK5vJoGE
— Holger Zschaepitz (@Schuldensuehner) September 2, 2022
Gas supplies to Europe also stopped after the price cap decision, supposedly due to technical challenges, having previously been expected to resume on September 3, 2022.
While commenting on a statement from Russian energy giant firm Gazprom over gas transit downtime, Javier Blas, energy and commodities columnist at Bloomberg, stated:
“Gazprom seems to imply here that the only operating turbine at Nord Stream 1 pipeline can only be repaired now at one of (overseas) Siemens Energy specialized workshops, and until that happens, the pipeline won’t re-start (in other words, it’s down for good).”
Bitcoin Gives Up Its Market Share
For Bitcoin bulls, in the meantime, a lack of market presence was starting to show. Subject to the source, Bitcoin’s share of the general crypto market cap was at its lowest in as much as four years as of September 3, 2022.
CoinMarketCap put Bitcoin dominance at 39%, the weakest performance since June 2018. TradingView calculations gave its figures as 39.88%, still marking an 8-month low.
Previously, there were reports on the general crypto market cap preserving its 200-week moving average (MA), a major achievement in bear markets gone by.
The same, nonetheless, may not be said for BTC/USD.