Investing.com – Bitcoin steadied after falling below $6,000 but sentiment on the popular crypto remains negative amid expectations it could swing lower and test recent year-to-date lows.
Bitcoin fell 0.75% to $6,139.3 on the Bitfinex exchange, after fighting its way back from a brief tumble to a session low of $5,984.
Jim Iuorio, TJM Institutional Services managing director, told CNBC on Tuesday that "markets tend to overreact in both directions - up and down - and they will probably take it [bitcoin] lower than its suppose to go." He added that he would not by bitcoin on the weakness to avoid catching a falling knife.
Bitcoin rebound from below $6,000 comes against the backdrop of falling demand as the total crypto-market cap remained subdued.
The total market cap of cryptocurrencies fell to about $248 billion, at the time of writing, from $249 billion at the end of last week.
Some analysts have noted previously that a shrinking crypto market cap, points to sluggish demand, denting the prospect of a sustainable recovery in the crypto market.
Other large-cap cryptos traded mixed.
Ripple XRP rose 0.25% to $0.46862 on the Poloniex exchange, while Ethereum fell 1.41% to $433.78.
Bitcoin Cash fell 0.56% to $711.10, while Litecoin rose 1.73% to $80.020.
