Bitcoin remains around $65,000 according to the Bitso board and there are concerns about whether this correction is temporary or marks the start of a longer downtrend.
The Crypto community at large expects leading digital currency to explode and there is no shortage of reasons that support this presumption.
Meanwhile, the wait to see the famous to the moon seems eternal since last April 19, when the fourth halving occurred, a milestone that halves the pace of BTC issuance and usually drives quotes.
Bitcoin: what’s happening with the price
What factors influence the current price of the star cryptocurrency and why did the long-awaited rebound not come? Specialists consulted by iProUP They addressed these and other explanations.
According to Iván Bolé, fintech lawyer and investment specialist, “the most likely scenario is that the correction continues a little longer, possibly hitting bottom and rebounding between the end of June and the beginning of July. In this context, the most pessimistic view is around US$ s57,800”.
However, the expert details what would be a more optimistic and ends the correction around US$61,200: “After this correction, the market discounts an impulse that should lead us to new highs in the second half of the year“.
It should be noted that the ATH (all time high or historical maximum) occurred in March, when the asset touched US$74,000.
“Bitcoin is falling due to negative reaction from exchange-traded fund (ETF) investors“, points to iProUP Pedro Rey, founder of crypto La Plata and CriptoEducador since 2017.
“Another reason is the possible million-dollar sale of Bitcoin by the Terra Foundation to pay million-dollar fines in the United States for the LUNA scandal and scam,” he completes.
Rey maintains that someone is selling a significant amount of Bitcoin. but his “personal perspective is that will last a few days, representing a repurchase opportunity“.
“My projection is that in the first quarter of 2025 Bitcoin will be at least US$100,000because only in four months they were purchased US$15 billion through ETFs and the possible reductions in rates in the US“.
Juan Pablo Carrano, crypto expert and former executive at IOL and Ripio, tells iProUP that “Bitcoin should begin its upward path from mid-July.” And he points out three keys that anticipate this rise:
- “Historically, Approximately two and a half months after the halving the rally begins and, in principle, it has been behaving the same as in the previous ones”
- “Another fact to take into account is the European Central Bank rate cut, which will help Bitcoin rise as a digital commodity. The only thing missing is that Fed do the same rate and you have the complete combo for a good rally“
- “The institutions (ETF) They will surely make profits close to US$69,000 and that is where the rebounds are, unlike previous years, when practically all cryptocurrencies were moved by individuals.”
Bitcoin’s arrival on Wall Street through ETFs may increase institutional demand and prices
“The people are optimists by naturethen you held more waiting for a much more significant increase,” adds Carrano.
Some experienced cryptocurrency traders, like Jelle (@CryptoJelleNL), argue that Bitcoin could fall to US$62,000.
“The cryptocurrency is within an ascending triangle with a long-term price target of $100,000, but I doubt it will be reached in the short term,” he says.
On the other hand, analysts such as Michaël van de Poppe consider that the asset is still trapped in a range between US$57,000 and US$73,000and they predict that it will range between US$63,000 and US$64,500 in the near future.
Bitcoin: technical analysis in the short term
To all this, technical analysis reveals a bearish trend for Bitcoin, with key resistance and support levels at $66,914 and $65,521, respectively.
Technical indicators present a mixed outlook, suggesting both buying and selling opportunities, reflecting market uncertainty. The moving averages point towards selling pressurewhile long-term indicators suggest possible rebounds.
Experts hope that the support of US$58,000/US$60,000 will not pass
Massive liquidations in the cryptocurrency market, especially in Bitcoin, confirm the current selling pressure. In the last 24 hours, They liquidated US$61 million in long positions of Bitcoin versus $24 million in short positions.
Despite the drop, some analysts maintain an optimistic outlook on Bitcoin’s recovery in the coming weeks.
They argue that, although the altcoins experienced significant pressurethe leverage of BTC remains high and stable.
Bitcoin: what to keep in mind
Activity on cryptocurrency exchanges offers clues about investor confidence. An increase in activity may indicate liquidations due to fear of a further decline or a sign of growing interest and accumulation at reduced prices. Both interpretations reflect the complexity of financial markets and the psychology of investors.
A key indicator is market sentiment, which reflects the collective expectation about the future direction of prices. A more neutral sentiment suggests caution on the part of investors, possibly due to uncertainty or waiting for relevant events.
The recent sales in Bitcoin ETF and funds like Grayscale’s GBTC are also relevant. This change in perception may indicate that investors are looking diversify your portfolios or respond to volatility and regulations in the cryptocurrency space.
The community expects the Fed to lower rates and make risk assets more attractive
Expectations about the US Federal Reserve’s interest rate policy also play a role. Lower interest rates generally favor assets like Bitcoin, but with fewer rate cuts expected, investors could reassess their Bitcoin exposure in search of safer assets.
The Federal Reserve’s looser monetary policy initially boosted markets and the price of Bitcoin, but expectations for rate cuts have moderated, partly explaining the pressure on price and preference for less volatile assets.
The support zone US$58,000-US$60,000 it’s crucial. A break below could indicate a bearish trend and trigger a massive sell-off. If the price is maintains or bounces off this supportcan be a sign of strength.
