Renowned cryptocurrency analyst Pentoshi assured that only a recovery of levels significantly beyond the current tight trading range on lower time frames would suffice for more bullish sentiment on what could come for the BTC/USD pair.
“$44,500 is the most important point for bullish momentum right now. 42,000 1D Resistance,” he told his Twitter followers on Saturday alongside an explanatory chart. “Below the bias is for redistribution and another leg down. I think the buyers have to step in pretty quickly.”
Meanwhile, Pentoshi wasn’t the only voice predicting long-term gain but short-term pain for the bitcoin price — a narrative, which had gathered momentum throughout 2022.
Specifically, Arthur Hayes, co-founder of the cryptocurrency trading platform BitMEX, believes that “Bitcoin may drop a 25% up to $30,000 per coin in Juneand Ether may follow suit, falling more than 16% to $2,500“, as collected Fortune.
On the other hand, other experts in the sector maintain their commitment to these digital currencies. For example, Antoni Trenchev, CEO of Nexo, assures that bitcoin will rise up to $100,000 in the next 12 months, as large investors have not stopped buying cryptocurrencies despite the current spike. Or Cathie Wood, CEO and founder of ARK Invest, who maintains that she sees bitcoin reaching the million dollars sometime between 2026 and 2030. According to her, this boost will take place with the entry of more institutional investors in the cryptocurrency market.
Analyzing market movements, Kevin Svenson, well known on social media for his bullish sentiment towards BTC, warned that current chart behavior was mimicking the period just before the bitcoin bear market crash in late 2018.
While that event followed a long period of lower lows throughout the year, bitcoin price has been making higher lows in 2022, he noted, but it wouldn’t take much for the rules to change and between “capitulation”.
“The difference between those higher lows and a breakout is significant right nowso blindly being on the sidelines and not considering anything else is a bit silly in my opinion,” he said.
Svenson added that bitcoin price was “coming up” in terms of following a historical pattern of putting a macro low around 800 days after each block grant halving. The last halving — on May 11, 2020 — was 706 days ago.
So what could be the cause of the distortion? The most likely factor is the fact that Bitcoin price is down 32% in 12 months. Even when BTC flirted with $48,000 on March 29, futures traders were still unprepared to build bullish positions using leverage.
It is possible to get a “glass half full” reading from the same data because the price of Bitcoin is down 15% since March 29, and yet there is no sign of a downtrend from margin and futures trading. of BTC. Traders are playing it safe, but also remain hopeful that $50,000 will show up anytime soon.