Bitcoin (BTC) is expected to decline to USD 32,500 in the near term after several crucial support levels drop to zero on April 23.
BTC / USD hit lows not seen since early March on Friday as analysts line up their forecasts – and buy orders – in the latest Bitcoin price correction.
Brandt plans to buy Bitcoin for $ 32,501
BTC withdrawals tend to scare new investors, while old hands seem to be fighting each other for who can attract the coolest persona as the numbers drop.
When the largest cryptocurrency fell between $ 53,000 and then $ 50,000, signs of short-term bearishness began to surface.
For veteran trader Peter Brandt, known for citing various BTC price phenomena in recent years, there was still a lot more room left to buy the dip. So much so that he disclosed he planned a buy order for just $ 32,501.
I entered orders overnight to purchase $ BTC for $ 32,501
– Peter Brandt (@PeterLBrandt) April 23, 2021
However, like other popular analysts, Brandt is far from bearish for Bitcoin in the long run. The popular Twitter account @Dilutionproof, who helped him predict the price floor argued that $ 46,000 would be a line in the sand for BTC / USD.
Basically, the basis for support consists of multiple price points, the account explained. Bids from investors and big whales, along with a technical Fibonacci level, all suggest that bears would struggle to force the market much lower.
“I’ve also seen a large buying volume in the chain around $ 47-49,000 on the blockchain, which I expect to serve as a very strong support if we even hit those price levels,” Philip Swift of trading suite Decentrader agreed in fresh analysis. released on Friday.
In addition, we continue to see large increases in the number of users on the Bitcoin blockchain, which is also bullish. So while there is a lot of anxiety on social media this week, I don’t believe any should panic or be overly concerned about the price of Bitcoin at this point. “
More BTC has been deposited into exchanges in the 24 hours to Friday than ever since the cross-asset crash in March 2020, Glassnode data shows.
For fellow Twitter analyst Rekt Capital, the retracement, meanwhile, is a textbook event that has featured every Bitcoin bull market.
The start of the Q2 correction, about 80 days after the end of the $ 42,000 Q1 correction, mimics what happened to Bitcoin during its 2017 bull run, the account noted.
Altcoins are suffering, but a cash injection is near
While Bitcoin lingers, altcoins are seeing a new sea of red after succumbing to a wide sell-off – but not for long.
That’s also the conclusion of Swift, who chose Ether (ETH) after the largest altcoin by market cap hit new all-time highs this week. More generally, altcoins are ripe for an influx of money from investors who consider Bitcoin to be “too expensive”.
“Given the influx of new money entering the market and new entrants who consider Bitcoin to be ‘too expensive’, I expect money to flow into altcoins,” he added.
“That would cause Bitcoin’s dominance to decline for a period of time, as certain alts outperform Bitcoin.”
Bitcoin lost its controlling share of the crypto market cap on Thursday, falling into the 40-50% zone for the first time since 2018.