The price of BTC has gone back and forth and today it fell back to yesterday’s levels. It rose to $26,850 before the drop. The markets have been extremely negative for weeks, linked to an increase in the dollar index and more importantly, the reasons that triggered it. While the Fed signals a continuation of tightening and has stopped raising interest rates, it continues to reduce its balance sheet. This also supports tightening.
Current Crypto Currency Predictions
Negative trends continue in the US stock markets. The S&P 500 is falling to its lowest level in the past three months, and the US dollar index (DXY) is heading towards its peak in the past 12 months. The index, which rose above the 106 level to the November region, has increased the losses of crypto investors. While the altcoins that did not rise strongly as the index fell are now falling in the opposite direction.
Bitcoin is once again stuck in a narrow range and the directionless price movement is keeping investors on the sidelines (due to recent constant painful experiences). According to CryptoQuant’s new research, Bitcoin’s daily spot exchange transactions exceeded 600,000 in March, but dropped to 8,000-15,000 last week. Low liquidity can lead to volatile movements in both directions, so investors should be prepared for big moves.
Despite the uncertainty in the price movement for the past few weeks, Saylor continues to buy Bitcoin. The success of the purchases made by MicroStrategy in determining historical regional lows has led some investors to expect a move towards $30,000.
Bitcoin Price Prediction
The increase in the dollar index seems to continue. If the 108 level is surpassed, we may see a rally up to the 115 region. In this scenario, it would not be surprising for Bitcoin to drop proportionally to $22,000 or even $20,000.
Bitcoin is witnessing a weak battle between buyers and sellers that does not generate much volume, as seen in the 20-day exponential moving average ($26,436). A single sale price of $50 million on the Binance exchange has the power to quickly push the price below $25,000. Less capital is needed for an equal upward movement. This suggests that a speculative upward movement in price could be easier. More importantly, for us to see a big movement in both directions, large investors need to make less effort.
If the price falls below $26,000, we may see that the BTC price rapidly drops to $24,800. In the opposite scenario, if there are closing prices above $26,436, $26,800 and $27,500 can be regained. The next target will be the general resistance area at $28,143. Most experts believe that the market decline will continue to the $22,000-$23,500 range. Last week, QCP Analysts announced that they would maintain their target of $23,500 for BTC as long as $32,000 is not exceeded.
