Bulls (buyers) seem to be losing control over the crypto-leading token bitcoin (BTC) as it is now standing at a support level of $44,000. Bitcoin has been losing to red after traders saws something fishy with bitcoin (BTC).
Bitcoin (BTC) continued its journey towards the downside into Wednesday’s Wall Street which opens with it testing the $44,000 support level for the first time since the beginning of April.
BTC price hovering around two-week lows
After analyzing data from Cointelegraph Markets pro and TradingView it is concluded that BTC/USD has reached 12-day lows of $43,801 on Bitstamp, that’s down more than 7% from the month’s high.
This move has to flout positive triggers in the form of some fresh buy-ins from Terra and MicroStrategy, but experts were instead expecting macro factors as the next potential BTC price catalyst, a positive catalyst.
According to a renowned portfolio manager at asset manager Robeco, Mr. Jeroen Blokland, The United States 10- year old treasury yield has to remain on an uptrend throughout the year and should now take a turn in another direction and should provide some rest for risk assets.
He stated, “We are not there yet”.
US Federal Reserve utters
While potentially going against them, the U.S. Federal Reserve has disclosed that May is expected to bring the start of “aggressive” balance sheet reduction, which will result in an end to the “easy money” policy, which many were afraid would pressure risk-asset demand.
“It is of paramount importance to get inflation down,” future Federal vice-chair Lael Brainard put his thoughts in the comments at a conference this week, mentioned by Financial Times among others.
Inflation continued to cause inconvenience to the sentiment beyond the U.S., looking at current stats, with eurozone annual producer price inflation rising to new highs by the most on record in February- it’s over 31%. As we see the current scenario after the Russia-Ukraine war future readouts are likely even higher.
Hold it strong, the current spot price zone
In such a critical situation like this, the experts were prepared to cut spot some slack, claiming for $44,000 to be a strong bullish foundation and be held hard and strong.
Speaking of experts, many do see this as a potential buying opportunity to get into the market and push the prices high, why so? Because EMA’s are aligned in the same manner and with this happening we also do see price testing the 200 level at 0.618 retracements.
All of this is to break out and exit a 2-month long accumulation period. Also when we do see the price action we can see a triangle pattern forming from the beginning of Feb to end of the Mar and this seems like a potential breakout that is now being retested at 200 levels.
Those who were seeking an opportunity to go long on BTC should consider this as one. According to the experts if we could hold this level of 44-45K zone then odds might be in our favor and we are probable to continue up the mid-50s as triangle breakouts are one of the strongest patterns.
Concluding with the Expert
Private fund manager and CryptoQuant contributor who’s known for his popular Twitter account Gaah placed his thoughts into words saying, $44,000 was a key level to be taken well care of to avoid a potential down move of the market to such a level as $37,000.
“Something is off and the coming days will show what is happening,” trader crypto Ed added in a lot more concerned tone.
In his recent YouTube update he came open and stated a failure to hold the $45,000 mark might open up the road to the low $43,000s, he said.