Dropped to $57K after limited bounce due to pressure from Investing.com

Investing.com – Bitcoin prices are lower today as the recent rally has been capped by concerns over the token's oversupply. Amid pressure from Mt Gox sales and the German government

The world’s largest cryptocurrency is still suffering from a 15% loss over the past month and remains in bear market territory. This is due to concerns about an oversupply of tokens, which is weighing on the market.

The token is down 2.7% over the past 24 hours to $57,772.4 at 01:33 ET (05:33 GMT), and has received a slight boost from buying at low prices this week.

Bitcoin is facing pressure from many sources, including the German Mt Gox sale

Mt Gox remains a major pressure point for Bitcoin after the exchange's custodians said they have begun returning tokens to customers affected by a 2014 hack.

Although it is not yet clear how much money will be distributed, wallets linked to the exchange were also seen moving around $9 billion worth of tokens earlier this year.

The German government is also selling bitcoins seized from hacked sites. It could hold at least $2 billion worth of tokens.

The sharp drop in the price of Bitcoin has raised concerns that major Bitcoin miners may start selling some of their coins to break even, especially after the Bitcoin halving earlier this year.

Buying at low prices helped limit Bitcoin losses.

Bitcoin continues to hover near four-month lows reached in early July, as the recent price drop has attracted buying at low prices.

Capital inflows into Bitcoin, especially exchange-traded funds (ETFs), have increased in recent weeks. This has helped boost confidence in the currency and also helped prevent the price of Bitcoin from falling below recent levels.

Sentiment towards cryptocurrency ETFs is likely to improve this week, especially as the Securities and Exchange Commission prepares to make a decision on whether to create an ETF for Ethereum, the world’s second-largest token.

Cryptocurrency Prices Today: Altcoins Volatile Ahead of CPI Data

Among the cryptocurrency market in general, altcoins were volatile but suffered heavy losses last week due to the Bitcoin sell-off.

It fell 0.1% to $3,099.20, while it rose 1%, gained 2.5%, and fell more than 2%.

Confidence in US interest rate cuts has weakened the currency, although the decline in value has offered little support to crypto prices. Federal Reserve Chairman Jerome Powell has spoken about progress in reducing inflation but warned that the central bank still needs more certainty on rate cuts.

Attention now turns to today's inflation data for more on interest rates.

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