Bitcoin Price Prediction, a Bearish Trend?
B
itcoin, the world's most prominent cryptocurrency, has been on a downward trend in value as the US dollar continues to rise. BTC has fallen by 6% in the last day and more than 8% in the past week. There doesn't seem to be a clear reason for investors losing confidence in Bitcoin.
The stock market's recent poor performance, which can be linked to the fear that the Federal Reserve will raise interest rates, has had a negative effect on Bitcoin's price. When investors become risk-averse, they tend to pull their money out of more volatile assets such as stocks and cryptocurrency.
According to a Bloomberg article, the Fed's aggressive moves may become much more forceful, as Bitcoin's price (which has an inverse relationship with tech equities and the tech-based NASDAQ) falls.
The cryptocurrency market is now moving in the direction of a bearish trend, with the BTC/USD exchange rate plummeting from $20,000 to $18,750 over the past 24 hours. The BTC/USD pair violated the triple bottom support level at $19,053 on the daily timeframe. The closing of a bearish engulfing candle beneath the $19 could lead to more Bitcoin bearishness.
BTC/USD pair has broken out of a symmetrical triangle pattern, indicating that investors are selling aggressively. The immediate support for the BTC/USD pair is at $17,685, and a breakout of this level could allow more selling until the $16,450 level.
Jonathan
An editor at CoincropJonathan is a Coincrop staff writer based in the UK, covering the best rates for cryptocurrency earning and borrowing products. When not at work, he's likely sailing.
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