Bitcoin price fails to stay afloat and keep its position above $40,000. While the cryptocurrency’s bottom has been rising, analysts think it could suddenly fall.
The bitcoin price does not look like it will climb up in the next few days. This thought is what some analysts say about the first cryptocurrency; they warn that there has not been enough demand to boost its price. Something that makes them think that the cryptocurrency could crumble down to the USD 30,000 line or even less.
For at least seven weeks, the price of bitcoin has shown a strong position above $37,000, suggesting that this position is its support line. This figure has only held for a few hours and then has been mainly above $38,000 with peaks approaching almost $45,000.
However, the price hasn’t managed to stay above the $40,000 bar for long. Some experts think there is some weakness in demand, so its price may even decay below the support line it has built.
The economist Gael Sánchez Smith, alias “Papa Bitcoin,” explained on March 14 via Twitter that although the price of bitcoin has been able to reach a position at the bottom, users haven’t observed a peak in volume and negative funding that has got observed in previous soils.
Considering this fragile macro situation, Gael Sánchez Smith thinks that a fall to the USD 28,000-30,000 zone would not seem debatable. At that mark, he would expect to see signs that it could form a turning point for its price to reach a high peak again.
Bitcoin at USD 30,000 Would be the Historical Low of 2022
A point of view similar to Gael Sánchez Smith got visualized by the financial investment specialist Alberto Cárdenas, who spoke on Twitter about how he spots some weaknesses in Bitcoin. He also expressed that he thinks the digital currency would revisit the USD 30,000 very soon without giving enough details.
Analyst Willy Woo, who revealed his latest bitcoin prediction bulletin last week, reappeared with an update. In this bonus track, he explained that the cryptocurrency’s price could have a less dramatic downward behavior. Woo expressed his opinion considering that $30,000-35,000 still looks like a solid point.
According to Willy Woo, there will be less volatility for the next few weeks, and then it will increase when more demand re-enters the market. Based on previous bearish timeframes, this phenomenon may take a month or two to happen.
Woo also explained that he believes a sudden capitulation event would be necessary to revive the buying behavior. Currently, the market is reacting to sell due to the economic uncertainty caused by Russia’s attack against Ukraine. And interestingly, in the face of news that may benefit the cryptocurrency industry, traders are not responding to purchasing bitcoin for a long time.
A proof of this behavior is the order of measures created last Thursday by the United States of America president, Joe Biden. This initiative demonstrates its confidence in letting the use of digital assets evolve and could have caused a massive wave of bitcoin purchases that made its price rise and remain above USD 40,000. However, the market did not behave this way.
By: Jenson Nuñez
