Bitcoin Faces Downturn in April 2024
In April 2024, Bitcoin experienced a significant downturn, marking its first red monthly close since September 2023. This drop occurred during its halving month, sparking discussions within the crypto community. Throughout April, the price of BTC plummeted by approximately 15 percent, concluding the month with trades hovering around $60,590.
Market Sentiments
- Bitcoinโs sudden decline has instilled fear in the cryptocurrency world, leading to a widespread selloff.
- Among the top 50 altcoins by market capitalization, only Cosmos Hub (ATOM) and Optimism (OP) managed to resist the downward trend, recording gains in the past 24 hours.
- This market turmoil resulted in the liquidation of over $437 million from the crypto market, predominantly impacting long traders.
Assessing the Bitcoin Halving
After generating excitement around the recent Bitcoin halving and the approval of spot BTC ETFs in the United States and Hong Kong, it appears that these events have evolved into a sell-the-news scenario. However, a significant number of crypto investors were caught off guard following the recent FOMO-driven buy-the-dip narrative.
Renowned crypto analyst Scott Melker, also known as The Wolf of All Streets, shared his insights on the situation. He highlighted the lack of major resistance levels, suggesting that Bitcoinโs price could revisit the $52k mark. While the Relative Strength Index (RSI) indicated oversold conditions on lower time frames, the weekly RSI did not reach oversold territory during the recent correction.
In light of these factors, The Wolf of All Streets predicts that Bitcoinโs price will continue to correct, possibly reaching a range of 30-40 percent.
Do you view this as a buying opportunity or a precursor to further decline? Share your perspective on the current Bitcoin scenario!
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