The unending woes of the most popular cryptocurrency have added yet another event. Bitcoin trades below the $33k trajectory on Friday having lost $2,500 in the turbulence in the cryptocurrency market. The scenario is similar to the mid-May market capitulation and could see Bitcoin retracing.
Several hours before its decline, BTC traded at $35,400 but didn’t last long as it reversed to $33,000. A popular cryptocurrency analyst Crypto Ed likened the situation to the May crash. According to him, Bitcoin’s value will go deeper and probably touch the $20k mark as he predicted earlier.
Current, sluggish PA reminds me of a similar situation a few weeks ago…..
I thought we did a 1-5 and started next cycle but after 1 more top, BTC made a deeper correction.
Thinking we might get the same here pic.twitter.com/ChHYdu58UU
— Crypto_Ed_NL (@Crypto_Ed_NL) June 25, 2021
While these probabilities might not be exciting news, indicators still show confidence in the market as more individuals and institutions swoop down on the deep. El Salvador is airdropping $30 to residents who download the wallet app provided to facilitate Bitcoin transactions.
Institutional entities like MicroStrategy are taking advantage of the current market trend to gather more of the cryptocurrency. In other news, the Purpose Bitcoin ETF is adding an optimistic stretch to BTC as it acquires more of the digital coins under its management.
Bitcoin in the Next Few Days
BTC has been on repeated Intra-day declines so far. Speculations in the market suggest that the crypto market would likely plunge into deeper bears. JPMorgan Analysts asserted this speculation in their recent review of the crypto asset.
Last week, Justin Hartzman, the co-founder of Coin Smart, said traders should look out for the $30k mark as a major resistance point. This proved to be true early this week when BTC sprang up after declining below $30k.
Julius de Kempenaer, the senior technical analyst also opined that while $30k could be a resistance level, investors are looking to a more bearish scenario. He suggested that a more solid resistance could be seen at the $20k mark. JPMorgan Analysts also believe this to occur as the Grayscale Bitcoin Trust is set to be unlocked.