From his record, the main cryptocurrency lost more than 20% of its value. Although the cryptocurrency continues to quote below $ 83,000 and the feeling of the market remains in “extreme fear.”
The price of Bitcoin It could be approaching its lowest point in this cycle, according to Charles Edwards, founder of the Capriole Investment Digital Assets Fund. Although the cryptocurrency continues to quote below $ 83,000 and the feeling of the market remains in “extreme fear”some analysts see signs of a possible rebound.
Bitcoin and the feeling of the market: a purchase opportunity?
The Crypto Fear & Greed index, which measures the general feeling of the crypto market, fell to its lowest level in two years, marking 10 points on February 26. However, Edwards minimizes its importance and prefers broader metrics, such as the survey of the American Individual Investor Association (AAII), which also reflects a pessimistic panorama.
On February 27, this index rose six points to 16, but Bitcoin continued without showing clear recovery signs. In the last 24 hours, the cryptocurrency has dropped 0.57%, quoting at $ 82,260, according to Coinmarketcap data. In the last week, it accumulates a fall of 16.42%.
Macroeconomic factors and its impact on Bitcoin
Several experts attribute the volatility of the cryptocurrency market to the macroeconomic uncertainty and the tariffs proposed by the US president, Donald Trump. Since its inauguration on January 20, Bitcoin has dropped 24.5% since its historical maximum of $ 109,000.
However, Edwards points out that these “extreme fear” levels have historically been indicators of a possible market rebound. Sistine Research, research firm in Crypto investments, estimates that there is 30% probability that the recent minimum of $ 82,242 has been the local fund.
Even so, it warns that if the stock market is still in decline, Bitcoin could touch the $ 73,000, a level that has not been seen since November 2024. In fact, the S&P 500 has fallen 4.13% in the last five business days, according to Google Finance data.
What do other experts about Bitcoin’s future say?
The founder and CEO of Cryptoquant, Ki Young Ju, considers that the probability that Bitcoin falls below $ 77,000 is low. For his part, Thomas Perfumo, an global economist of Exchange Kraken, argues that “the cryptocurrency market still has space to grow.” He argues that Bitcoin’s domain is maintained at the low 60 and that the market capitalization of the Stablecoins has grown by 11% so far this year, which indicates a continuous on-chain capital flow.
Finally, Ben Simpson, founder of Collective Shift, highlights that current market conditions could represent a purchase opportunity for investors.
While the Bitcoin market is still in uncertainty, analysts discuss whether the cryptocurrency has reached its minimum or if there is still room for greater correction. With macroeconomic factors at play and a feeling of extreme fear, the short term could define the course of the world’s largest digital asset.
Source: Ambito
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