Analysts have differing opinions on Bitcoin’s short-term prospects, but the majority believe that $42,000 is the mark to watch.
For crypto traders, the waiting game continues as Bitcoin (BTC) remains stuck below resistance at $43,000, seeking a spark of momentum that can support a rise back to the $50,000 region.
Bitcoin’s price has moved in a range between $41,500 and $43,000 over the last several days, according to data from TradingView, and with tensions between Ukraine and Russia growing, many traders are less than bullish about Bitcoin’s short-term prospects.
Take a look at what analysts are saying regarding the price of Bitcoin in the short term.
Is Bitcoin on its way to oblivion?
Perma-bear, a well-known cryptocurrency Peter Schiff weighed in on Bitcoin’s recent troubles by sharing the graphic below, which shows a double top on BTC as a hint that the digital asset is on its way to $0.
“Imagine how horrible this chart will look after Bitcoin breaks below $30,000,” Schiff said, before adding, “If this double top completes, the real floor is $0!”
According to Schiff,
“While a drop to $10,000 appears to be a certain conclusion, there’s no reason to expect that level will hold as a permanent floor.”
Crypto expert and pseudonymous Twitter user ‘TechDev’ provided a more in-depth look at the present chart formation, posting the chart below, which separated the “year-long BTC range” into 2-week-long sub-ranges.
According to TechDev,
“Closing outside one has given the coming weeks of price activity.” The 2W close above $40,000 yesterday shows the prior close was a blip. The current 2W is critical in selecting which sub-range we’ll spend the next three weeks in.”
“Right now, a bullish crossover is taking place.”
Market expert Caleb Franzen released the following chart, which looks at the daily candles for BTC since October 2020, as evidence that the price of Bitcoin could soon start heading higher.
According to Franzen,
“Linear regression analysis is used to quantify the slope of the regression on different time frames via the red and white indicators” (slow vs. fast). Depending on the direction of the crossover, it is bullish or bearish. “Right now, there’s a bullish crossing happening…”
Was it a bear trap when the market fell below $40,000?
Crypto trader and pseudonymous Twitter account ‘Phoenix’ addressed the recent drop in BTC price below support at $40,000, stating the dip was a deviation aimed to “suck in traders on the wrong side” and “trap breakout traders” by forcing them to “load higher/lower objectives.”
Phoenix remarked,
“History does not repeat itself, but it frequently rhymes.” It’s possible that this was merely another blip on the radar. At the very least, emotion matched near the bottom.”
The total cryptocurrency market capitalization is currently $1.892 trillion, with Bitcoin commanding 42.5 percent of the market.
Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.
