Despite BTC’s rally above $30,000, analysts warn that the cryptocurrency “looks vulnerable to further decline.”
The Crypto Market on Pause: What Factors Could Trigger Future Bitcoin Crashes?
The market of cryptocurrencies experienced a slight rebound, with the Bitcoin(BTC) showing a moderate advance above the $30,100 Meanwhile he ethereum (ETH) gives up slightly and approaches the u$s1.900.
Despite the recovery of Bitcoin above the $30,000 after a week of uncertainty, Craig ErlamSenior Market Analyst OANDAwarns that the BTC “seems vulnerable to a new fall“. Over the past month, Bitcoin has been trading in a range, but has recently drifted towards the lower end of said range, causing jitters. among some investors.
Erlam argues that there is the possibility of a “significant break down“, which would take Bitcoin towards “the next key zone of support“, located around US$28,000.
Naem Aslamchief investment officer at Zaye Capital Markets, shares the same thesis. Although he is surprised by the current difficulties of Bitcoin, especially considering the positive news that the cryptocurrency sector receives, such as the results of Tesla, that has not shown intentions to sell more Bitcoin . Aslam believes that for significant momentum to occur, Bitcoin price should exceed $35,000. In addition, he considers that the “overall narrativearound cryptocurrencies is getting stronger, as the Comission of Stock Market and Securities (SEC) is evaluating the possibility of approving the requests for BlackRock and other players to create a spot bitcoin exchange-traded fund (ETF).
Meanwhile, in the world of ‘altcoins’, Ripple (XRP) continues with a marked increase and consolidates its position as 3rd largest cryptocurrency after partially winning its legal battle against the SEC. Also, other cryptos like Cardano (ADA) and Solana (SOL) too show strong increases.
The crypto market remains dynamic and full of challenges, so investors should keep an eye on the news and possible movements in cryptocurrency prices. Regulatory decisions and news related to major companiess can have a significant impact on behavior of these digital assets.
Bitcoin: price prediction
The analysis of the price of Bitcoin indicates that the level of $29,550 is currently a crucial support levelwhile the level of $30,000 It has psychological importance. Certain analysis patterns above $29,550 suggests weakening bearish sentiment and the possibility of a bullish shift in market sentiment. Also, the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) show neutral signals.
These factors suggest a possible limitation on significant price movementsas long as Bitcoin stays within the range from US$30,200 to US$29,550.
A break above $30,200 could lead to to Bitcoin at levels around to $30,900 or even $31,500.
Conversely, a break below $29,550 could push the price towards the $29,000 level.
Source: Ambito
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