Bitcoin and altcoins are struggling to come out of the current crash. Dominating around 45% of the entire crypto market for the past few weeks, the price of Bitcoin (BTC) has remained in the red. So, will BTC and altcoin prices recover this week? Here are the predictions of the experts…
Which levels are important in Bitcoin this week?
Interestingly, the high correlation between global crypto and stock markets is becoming evident amid the current downturn. At the time of writing, BTC, which started the week at $30,000, is also marking its 8th consecutive weekly close in red. Darshan Bathija, Vauld CEO and Co-Founder, comments to FE Online:
The Dow Jones average fell for 8 consecutive weeks; however, the main indices were also in a bearish trend. While the S&P 500 fell, its high correlation with the crypto markets was evident.
What do experts say about Bitcoin?
Bitcoin price has been slightly up in the last 24 hours. It has traded sideways in the last 10 days and consolidated at around $30,000. As investors move away from ostensibly riskier assets under current inflationary conditions, Bitcoin may find it difficult to rise to its glory days. Edul Patel, Co-Founder and CEO of Mudrex comments:
Bitcoin has risen about 3% in the last 24 hours, but has failed to try to break above the $30,000 level. BTC traded sideways last week and struggled to break above support
Analysts at WazirX exchange also say in a recent note that the monthly trend for BTC has dropped below the ascending channel pattern:
The next resistance for BTC is expected to be $40,000 and support at $24,000. The monthly RSI for Bitcoin is currently at 47, the lowest point in these 2 years. On note, RSI support is at 43.
RSI is a momentum indicator mainly used in the technical analysis of a cryptocurrency. It is also used to measure the magnitude of recent price changes to understand overbought or oversold conditions in the price of cryptocurrencies.
When will BTC price recover?
Under current circumstances, crypto investors may need to wait for global stock markets to recover to see improvement in the crypto market as well. Commenting on the correlation of Dow Jones and Bitcoin at the beginning of the article, Vauld CEO Darshan Bathija thinks that the BTC price will continue to decline for a while:
The current downtrend is likely to continue as the stock markets record new lows.
Mudrex’s CEO, Edul Patel, says an uptrend can be seen if BTC breaks above $32,000 this week:
Investors are turning away from risky assets due to increased market uncertainty after rising interest rates . If BTC can break the initial resistance levels at $31,000 and $32,000 this week, we could see a bullish bias.
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