Bitcoin Faces Potential Further Downside in Coming Days
Experts predict that Bitcoin (BTC) could experience more losses in the near future following sudden declines due to escalating geopolitical tensions in the Middle East. Many had hoped that Bitcoin would maintain its value above $70,000 to reach new record highs, possibly exceeding $100,000.
Analysis of Bitcoin’s Future Trajectory
Crypto analyst Alan Santana recently shared insights on Bitcoin’s potential downward trend in a post on TradingView. He pointed out that Bitcoin’s recent dip could signify the beginning of a more significant correction. Santana’s analysis, based on the monthly timeframe, highlights that April has seen seven straight months of growth for Bitcoin, indicating a possible correction after an extended bullish phase.
- April marks the first time in Bitcoin’s history with seven consecutive months of growth
- Santana predicts a minimum target of $48,000 based on the monthly timeframe
- Investors should prepare for sustained downward pressure despite short-term bounces
Key Price Targets to Monitor
Santana’s analysis also identifies crucial support levels for Bitcoin during its potential descent. The Exponential Moving Averages (EMAs) at $40,000 (EMA21) and $30,550 (EMA50) are essential levels to watch for potential reversals or stronger support.
“For Bitcoin to close green, it would need to end the month above $71,300. Since we know this is the month that Bitcoin turns red, based on current action, we know that the remaining weeks can result in more lows, lower lows and lower prices as the correction unravels,” Santana explained.
- Bitcoin has support at $60,000 and resistance at $65,000
- Market sentiment differs on Bitcoin’s future, with some predicting further losses
Bitcoin Price Analysis
At the time of writing, Bitcoin is trading at $63,838, showing a 5% loss in the last 24 hours and nearly an 8% decline over the week. Despite the bearish outlook, Bitcoin still has significant bullish factors, including the upcoming halving event. The short-term performance may be influenced by geopolitical tensions in the Middle East.
Hot Take: Proceed with Caution
As a crypto enthusiast, it’s crucial to monitor Bitcoin’s price movements carefully in the coming days, considering the potential for further downside. Stay informed about critical support levels and be prepared for market fluctuations amidst geopolitical uncertainties.
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