The price of Bitcoin may approach the threshold of $ 20,000 in the near future, warn financial analysts. After a meteoric rise beyond $ 60,000, the mother of cryptocurrencies has been weighed down by Tesla’s turnaround and regulatory threats from China. Despite the recent announcement from El Salvador, the price of BTC is struggling to recover.
Bitcoin price could go down, according to financial analysts at Evercore ISI, Tallabacken and Oanda Corp around $ 20,000 In the coming months. If price slips below $ 30,000, there is a good chance Bitcoin will crash to the next support zone, $ 20,000. “A breakout under $ 30,000 could see a huge amount of dynamic selling” says Edward Moya, analyst at Oanda Corp.
For memory, Bitcoin topped $ 20,000 for the first time last December. Worn by authorization of payments on PayPal, the dean of cryptocurrencies had sounded the start of the “bull run”, a bullish phase in stock market jargon. Most altcoins had followed suit.
Bitcoin goes back to $ 37,000, is this the end of the decline?
“The most obvious answer continues to be a full retracement of the $ 20,000 breakout – in other words, up to $ 20,000” analysts Rick Ross of Evercore and Michael Purves of Tallbacken say in a note relayed by Bloomberg. Note that the price has come dangerously close to $ 31,000 this Tuesday, June 8, 2021.
Despite these caveats, most analysts believe that Bitcoin’s price should reach new highs in the long term. Experts agree, however, that cryptocurrency is about to live a period of decline, which is nothing unusual. The emerging downtrend is mainly due to to the successive announcements of Elon Musk, to the umpteenth regulatory threats from the Chinese government,
However, the price of Bitcoin has regained color in recent hours. Digital currency climbed to $ 37,000 after Salvador’s historic announcement. Under the leadership of President Nayib Bukele, El Salvador became the first country in history to adopt Bitcoin as legal tender.
Source : Bloomberg