On March 10, a high CPI value hit the markets as the headline of the day. As we have reported as Kriptokoin.com, the Bitcoin price continued to stay below $ 40,000 after that. So, what levels are analysts expecting in the largest cryptocurrency by market cap? Here are five analysts’ predictions…
Rekt Capital: Bitcoin still consolidating
Comments on the recent volatility in Bitcoin came by crypto trader Rekt Capital. The analyst posted the chart below and said, “BTC is still consolidating between the green high support and the blue 50-week EMA resistance.” Also, the analyst thinks that the coin is ready to explode if it exceeds $43,000.
According to Rekt Capital, “higher lows and lower peaks compress the price. Price compression precedes volatility.” As for what is needed to recap the bullish sentiment, Rekt Capital pointed to the green and blue exponential moving average (EMA) lines that have proven to be strong resistance points over the past two weeks:
Go higher in the macro range and BTC needs to retrace two key EMAs to confirm the bullish momentum.
BTC holders at risk of selling at a loss
The nature of BTC’s price action in recent weeks has been discussed by research fund Stack Funds. “Bitcoin quickly broke the past few weeks, trading in the $35,000-45,000 range with strong directional momentum intact,” the report said. According to Stack Funds, this latest price action is “mainly news-driven” and analysts do not see any relief in the near term as the conflict in Ukraine and the persistent rise in inflation continue to pose significant hurdles.
Evidence that traders have a low appetite for greater exposure to current market conditions can be found by looking at the Bitcoin Output Profit Ratio (SOPR), a metric that shows the total gains and losses realized on a given day. Stack Funds noted that the SOPR “trends towards the 1.0 threshold” in the wallets of long-term BTC holders. According to experts, this is an important level as it marks the defining line between selling for profit or selling at loss.
According to the report, the long-term SOPR has been bearish since Bitcoin’s price peaked in November 2021” and is currently trading at “around 1.5”. During the two examples shown in the chart above, where SOPR was trading and hovering below the 1.0 threshold in mid-2018 and late 2019, “Bitcoin traded sideways and crashed twice,” according to the report. Stack Funds expects sideways or bearish action, at least in the short term, unless a positive catalyst is seen or the SOPR indicator changes.
On-chain data looks positive
Not everything is pessimistic when it comes to Bitcoin price in terms of on-chain analysis. In the chart below published by “Plan C,” the analyst explains that “the number of Bitcoin savings addresses has become parabolic in the past month.” Plan C defined savings addresses as “addresses that have made at least 2 new transactions and never spent BTC.”
$46,000 points to a critical level for Bitcoin
As for the short-term outlook for Bitcoin, market analyst Michaël van de Poppe said below $46,000 for BTC. He thinks that he has not been bullish and that “the chances of getting these dips are pretty significant”.
This short-term bearish sentiment was echoed recently by ExoAlpha managing partner and chief investment officer David Lifchitz, who said the recent spike in BTC “come suddenly and lasted less than an hour.” ” he stated. Lifchitz used the following statements:
BTC is still stuck in the $33,000-45,000 range. Without a move and a possible break above $45,000 to $50,000 in the next 48 hours, BTC will likely continue to bounce in the range.
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