Bitcoin It has recently experienced a significant economic downturn. With the approval of Bitcoin Spot ETF (ETF) In the US, the price of Bitcoin has surprisingly fallen by approx. $4,000, What is currently standing $42,807. This decline is contrary to the optimistic expectations many had for cryptocurrencies following the ETF approval, and suggests a pervasive “selling the news” sentiment in the market.
Technical analysis: signs of continued decline?
Technical indicators provide various predictions about Bitcoin’s immediate future. Meanwhile, cryptocurrencies are stabilizing within a bullish channel. The support point is the 50-day exponential moving average (EMA) marked by the red wave on the daily chart. $42,120.
However, the Relative Strength Index (RSI), which measures the magnitude of recent price movements to assess overbought or oversold conditions, is currently hovering around the midline. This indicates a lack of strong bullish momentum.
Even more troubling is the emergence of bearish divergences. In other words, in contrast to Bitcoin’s highs, the RSI is forming lower highs. If Bitcoin price falls below the 50-day EMA, it could seek support near the lower trendline of the bullish channel, which coincides with the 200-day EMA near $34,850, the lowest since Q4 2023.
Market forecast: diverse opinions and potential scenarios
Opinions about Bitcoin’s future price vary widely among market commentators. crypto poseidon, for example, Ranges from $25,000 to $30,000recent buyers have accumulated BTC.
This scenario involves bankers buying Bitcoin from these investors, potentially establishing a new market bottom.
People accumulated Bitcoin for ETF narratives with an average price of 30,000-25,000. I don’t think a banker can make a profit by paying a 50-70% premium on the price you bought it at.
Meanwhile, analyst Raoner suggested that the market has already priced in the rise in Bitcoin ETFs and expects the price to stabilize between $24,000 and $32,000.
In contrast to this view, Crypto trader Il Capo warns that the market could fall to $12,000, similar to how the market behaved during the rise in interest rates from 2004 to 2007. .
A glimmer of hope: Can Bitcoin recover?
Despite the current uncertainty, some analysts remain optimistic about Bitcoin’s potential for a rebound.
Lucas Kiely, Chief Investment Officer of Yield App, and Christos Makridis, Founder and CEO of Dynamic AI, predict that Bitcoin price will rise to $50,000 and even $60,000 in the coming weeks. We predict that it could rise towards the dollar. They suggest that a small pullback is possible but not significant. They further speculate that Bitcoin’s value could rise significantly after June after the halving event.