What will BTC do next?
The Bitcoin currency BTC is testing the support that it did not break in the past few days, as the price of the currency fell below the support by 56 thousand dollars and then decreased further to the next support level of 54 thousand dollars, which did not last long, to go down more to 52 thousand dollars, then 50 thousand dollars, then test the strength The $ 48,000 subsidy, which showed itself to be tougher and stronger, made it bounce up to the $ 49,000 level at the time of writing this article.
On Bitcoin's drop and its recent correction, Bitfinex Technical Director Paolo Arduino said:
This type of volatility is not new to Bitcoin.The sharp drop could spur Bitcoin critics who continue to reject the cryptocurrency as an economic sideways supply.Knowing that they missed the last period.
He added:
Volatility is not new and expected in such a young market.For many in the industry, development and deployment are a priority.While price movements are more than a side effect.
What can we expect from the bitcoin price in the short term?
The strength of the bulls cannot be underestimated, and some investors have already seized the opportunity to buy bitcoin at a low price.
At the time of writing this article, the bitcoin price is once again testing higher levels, according to several technical expectations that the bitcoin price and if it is able to stand firmly above $ 52,000 and bounce effectively, this indicates that the buying momentum is sufficient to continue the upside and that the bulls are in control. In the market.
This may mean that Bitcoin's first target will be to once again break the pressure line of the rising channel, which is currently around $ 57,000, to reach $ 60,000.
On the contrary, if the Bitcoin price falls below the midpoint of the channel plotted in the curve below and provided by the source, that will be the first sign of weak buying momentum and the Bitcoin price may test the rising channel support level at around $ 47,000 which will be the second big indicator. On the failure of purchasing power.
If BTC falls below the support level of $ 47,000, Bitcoin may correct to meet the 50-day moving average and may fall to $ 4,1036.
As an overview, Bitcoin is in an upward position that started since the end of last year, and was distinguished from past rises by the turnout of investment institutions, many of which are still planning to enter the Bitcoin arena, and according to many analysts and observers, we are at the beginning of the wave of institutional adoption of Bitcoin, and it is very natural that the corrections happen.
As usual, when prices decline, many rumors and false news appear, the most prominent of which is the rumor that the "Micro Strategy" company transferred large sums of Bitcoin from its wallet to the "Coinbase" platform, but upon tracking the matter, it appears that the matter is fake, aiming to create terror and fear in the hearts of investors.