Popular cryptocurrency analyst Michael van de Poppe says that if the price of the leading crypto falls below $38,000, Bitcoin (BTC) could correct up to $31,000.
“A pretty drastic correction is imminent for Bitcoin below $38,000”
In a YouTube video, Michael van de Poppe stated that Bitcoin has been trading sideways since the beginning of the year, but that the last minor correction below $40,000 has yet to be reached. states that it opens the door for further price drops. Although the analyst believes that it is still a possibility to trade at $31,000, he states that the level has not been tested given recent trading patterns. Michael van de Poppe explains:
If we lose $38,000 in BTC, I predict we’ll start falling south and then expect a pretty drastic correction.
Michael van de Poppe: Strong dollar impacts Bitcoin
Analyst says Bitcoin’s failure to start another rally may be due to strong dollar performance, but crypto asset it shows stability. However, the analyst points out that the market will be eager for the next rate hikes, which will likely lead to a reversal of the dollar, which has a positive impact on Bitcoin as a result.
Besides the effect of the dollar, investors will also consider the next halving event, which will take place almost two years from now. As we covered in the news of Kriptokoin.com, historically, the halving has caused a stable and significant price increase in Bitcoin.
“There may be some momentum if BTC breaks the $40,200 mark”
On the other hand, the analyst states that if Bitcoin breaks the $40,200 mark, investors should expect some momentum. Michael Poppe also reminds us that Bitcoin’s next price action could be influenced by the fact that the asset has been trading in the $30,000 to $46,000 range since the beginning of 2022, saying:
We also tried to break above $44,600 and we conclude that we fall below the range that will eventually chase the downside of this range.
The analyst’s price analysis comes after Bitcoin slumped below $40,000 in the past 24 hours. As of press time, the asset was trading at $39,607.
Michael van de Poppe highlights the stability of Bitcoin, while Bloomberg commodity strategist Mike McGlone states that the asset will ban cryptocurrencies in 2021, inspired by Russia’s invasion of Ukraine and China. believes it is fit to be a collateral in the paradigm shift in the world.
2866
