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Bitcoin currently appears to be making its way back to $23k, after crossing the $24k level once on Thursday. Reports from experienced traders suggest that if Bitcoin fails to hold the $23k level, it could be close to bottoming out. How true is this? Let’s find out.
Bitcoin returns to $23k after $25k not in sight
The crypto market recently experienced a mixed reaction in trading following Federal Reserve Chairman Jerome Powell’s announcement that inflation is beginning to ease and the Fed’s 0.25% interest rate hike.
While Bitcoin experienced a 0.82% drop to reach $23,450, Ethereum broke through the $1,600 barrier. With a 24-hour trading volume of $20.58 billion, which is close to where it was yesterday, Bitcoin continues to perform well.
Bitcoin recently surpassed even the most optimistic price predictions and reached new heights. After testing the $22,500 support on February 1, it gained 6.5% in just five hours and oscillated around the $24,000 level before dipping back below the price level. It is worth noting that the 40-day correlation between Bitcoin and the S&P 500 is still above 75%.
On the other hand, Ethereum has been hovering around the $1,680 resistance level for more than a couple of weeks. Despite the uncertainty in the market, the bullish trend on the Ethereum price chart and the bullish outlook of investors towards ETH derivatives give rise to the possibility that the Ethereum price will reach $1,800 or even exceed it. at the end of next month.
Market sentiment shares a bearish outlook for Bitcoin
The Bitcoin price has been consistently trending above the $23,000 level, reflecting the bullish trend of the token in recent weeks. The current trend is largely driven by the recent adoption of dovish monetary policy by the US Federal Reserve. However, not all investors agree with this bullish trend, as many expect a drop in the price of digital assets.
Coinmarketcap’s price estimates provide insight into investor sentiment, and the latest round of predictions shows a bearish outlook for Bitcoin. This platform feature allows individual users to submit their price expectations and provides an estimate of all predictions. The median estimate for February resulted in a price of $20,000, a drop of 14.69% from the current price. If this prediction proves accurate, it could result in a significant decline for Bitcoin.
The bearish sentiment extends beyond the month of February and investors expect a fall in the price over the next five months. The median estimate for March resulted in a price of $19,500. Of the 34,000 votes collected, the median estimate was $20,203.57, while the median was much worse at $19,659.
It is important to note that while price estimates are a useful tool for gauging investor sentiment, they are not a guarantee of future price movements. Market sentiment and investor sentiment are two separate things, and market conditions can change rapidly, leading to price fluctuations.
While the Bitcoin price continues to trend above $23,000, many investors are expecting a price drop. However, the cryptocurrency market is known for its volatility and several factors could affect the price in the coming months. Investors should take advantage of their personal research on a token before making any investment decisions.
Technical analysis says otherwise
There has been an ongoing debate recently as to whether Bitcoin’s current uptrend is sustainable. Despite this, the digital currency is still showing signs that suggest its price may continue to rise. For example, it is trading well above the key moving averages.
Furthermore, Bitcoin has now established support just above the $23,000 level, indicating that the bulls remain in control. Despite missing the $24,000 mark, the cryptocurrency still maintains enough momentum to retest that level. With trading volumes of over $21 billion in the last 24 hours, as long as support holds above $23,000, the probability of a significant drop is low.
Right now, Bitcoin is trading at around $23,470 and has seen a 0.02% drop in the last 24 hours, but a 2.08% rise in the last seven days. It recently fell for the third day in a row after hitting a high of $24,262, its highest point since August of last year.
According to the 14-day Relative Strength Index, Bitcoin’s recent slide has put the index at 68.41, slightly above the 68.00 support level it held yesterday. Failure to hold this floor could result in continued bearish sentiment and push the price below $23,000.
As discussed in last month’s analysis, Bitcoin was forecast to move sideways after its strong rally in January, which is exactly what was seen this week between $21,800 and $23,800. A potential break above the $23,800 resistance could result in a positive week for traders, with the next resistance level at $25,400. With multiple failed attempts to break this resistance, the chances of a successful breakout have increased.
No more excuses for a healthy lifestyle with Fight Out
Investors looking for a promising new cryptocurrency in the growing “move to win” (M2E) niche may want to take a look at Fight Out. This unique project aims to gamify fitness and weight loss through an app. Once downloaded, users will be able to create a profile and receive personalized workouts from top trainers, complete with HD videos showing each exercise.
When a workout is finished, the app will track the user’s progress and reward them with REPS, FightOut’s off-chain currency. REPS can be used to purchase items from the Fight Out shop, such as supplements and clothing. Additionally, Fight Out has its own ERC-20 token, FGHT, which can be used to purchase more REPS and has exciting future plans, including serving as a transactional currency for the Fight Out Metaverse.
Fight Out is currently holding a pre-sale for FGHT tokens, which are currently priced at $0.01949 and come with bonuses of up to 50% depending on the investment amount and the acquisition period.
Fight Out sets itself apart from other M2E projects like STEPN in that it offers a more comprehensive approach to tracking and rewarding fitness without expensive NFT purchases. Launching in Q2 2023, the Fight Out app will leverage smartphones and wearable technology to track physical performance and feature its own internal tokenized economy.
The FGHT token presale has already raised $3.88 million and is expected to be listed on centralized exchanges in April at $0.033 per token. This could lead to potential paper gains of around 100% for early investors. With Fight Out’s ambitious goals of creating an integrated web3 fitness experience and acquiring gyms in major cities around the world, it can be a smart investment opportunity.
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