The period of low volatility in the cryptocurrency markets seems to be starting again after the recent surge, as BTC is once again consolidating. If we are to see a repeat of the movement that started in mid-August, we may witness the price staying almost flat for 10 days. So, what are the current predictions of senior experts?
Bitcoin Price Decreases
The BTC price has dropped to its lowest level since August 22, falling below $26,000 again. With a decline to $25,500, the price shows concerning performance. While the August rally was expected to counter potential sales in September, things suddenly turned around. This move was already expected due to the weak volume. If BTC is to experience a real recovery, its daily cumulative volume of $70 billion needs to return to normal.
The enthusiasm of Grayscale faded early, and the weekly relative strength index (RSI) fell to an important trend line. The cluster of exponential moving averages (EMAs), which previously acted as support, is now turning into resistance. When we combine all these pieces, we can expect a continued decline until September 13 due to no significant development on the macro front.
Crypto Expert Commentary
Rekt Capital warned investors in his latest market assessment. The analyst, who has been saying for weeks that more losses are approaching, has drawn attention to the $22,000 region multiple times. The consensus among market analysts is that the sell-off will continue.
“We have been seeing this trend line being held for a very long time, for several months, even for over a year. If we lose this RSI trend line, there will likely be further downward movement awaiting us.”
The targets for a new decline range between $22,000 and $23,000. According to CoinGlass data, historical norms suggest a decline of 7% to 13% for September losses. Rekt Capital argued that if a relief rally occurs, it would only target $27,000.
The U.S. Dollar Index (DXY) was above the 104 level at the time of writing this article, showing a tendency to continue the upward trend that started in mid-July by recovering its recent losses. If DXY does not surpass the 106 level yet, considering how dominant the selling pressure is in the crypto market, it is difficult to imagine the worst-case scenarios.
