In five days, the main cryptocurrency(Bitcoin) grew by 17% and reached $ 34.4 thousand.
Experts explained why in the coming days there is still a risk of quotes falling below the $ 30 thousand level.
This week, bitcoin fell to $ 29.2 thousand for the first time in the past month. After that, the main cryptocurrency (Bitcoin) returned to growth, and as of July 25, it is trading at $ 34.4 thousand.
In five days, the digital coin has grown by 17%. Experts explained why the negative remains on the crypto market, which can provoke another decline in bitcoin.
Negative prevails
Local growth at the end of this week is due to the positive sentiment of investors following the results of the last conference “The B Word”, at which influencers responded positively about cryptocurrencies, said leading analyst at 8848 Invest Viktor Pershikov.
In his opinion, the negativity of recent weeks associated with the persecution of miners in China and the drop in the bitcoin hash rate has not gone away.
In the coming days, a multiple increase in trading volumes is not expected and this will not give bitcoin any incentives for growth, the analyst explained.
“I do not expect a significant drop in bitcoin prices, but bulls will not be able to hold the $ 30 thousand mark for a long time.
There is a high likelihood of a provocation with a sharp decline in prices and the elimination of longs of market participants and a decrease to $ 27 thousand, ”Pershikov predicted.
Bitcoin will not soon be able to accumulate strength for a bullish movement, so next week the coin will continue to fluctuate around $ 30 thousand, says Nikita Soshnikov, director of the Alfacash cryptocurrency exchange service.
According to him, next week and in August, the probability of bitcoin returning to the range of $ 25-30 thousand with local falls below $ 25 thousand will remain.
In the fall, bitcoin may return to growth again, as the network hashrate will begin to recover, but much will depend on the rhetoric of the American authorities, which pretty much frightened market participants with statements about the need to tighten control over cryptocurrencies and stablecoins, Soshnikov added.
This week US Treasury Secretary Janet Yellen called for a quick settlement of stablecoins .
In the coming months, she said, regulators are planning to issue recommendations to address regulatory gaps for stablecoins.
The head of the Securities and Exchange Commission (SEC) Gary Gensler said that cryptocurrency , which are pegged to the value of traditional financial assets, are subject to securities laws.
According to Gensler, not only stablecoins pegged to the exchange rate, but also tokenized shares that are traded by many crypto exchanges can be considered as securities.
Offensive mode
There is a possibility that Bitcoin next week will be able to reach the $ 36 thousand mark, and, possibly, test the $ 40 thousand level, says Mikhail Karkhalev, financial analyst at Currency.com crypto exchange.
In his opinion, the main cryptocurrency (Bitcoin) is gradually moving into an offensive and recovery mode.
“On the side of bitcoin, there is still a fundamental background, in the form of the situation in the world economy and an increased demand for risky assets, as well as the reluctance of sellers to push the price below current values,” the analyst explained.
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