On August 1, the main cryptocurrency(Bitcoin) reached $ 42.5 thousand. After that, the quotes went down. What factors triggered the fall in the rate of the digital coin and can it return to growth in the coming days?
On August 1, the cost of bitcoin for the first time since June 20 reached $ 42.5 thousand. After that, the quotes went down.
On August 2, the first cryptocurrency (Bitcoin) is trading at $ 39.6 thousand. Experts predicted whether the digital coin will be able to continue its growth in the near future.
Short term correction
A decrease from $ 42.5 thousand to $ 39.2 thousand can be considered as a correction before the start of the growth of bitcoin to the level of $ 47-50 thousand, the CEO of the Cryptorg crypto exchange Andrey Podolyan is sure.
In his opinion, quotations in the coming days may fall even lower – to $ 37 thousand.
“Growth remains the priority in the longer term, large players still hold more long positions than short ones,” Podolyan explained.
Lateral dynamics
An important feature of the bitcoin price growth in the last week is the increase in the value of the asset against the background of a small number of open positions, noted Viktor Pershikov, a leading analyst at 8848 Invest.
According to him, this means that Bitcoin is not ready to overcome resistance levels in the range of $ 41-43 thousand.
“Taking this into account, I expect in the coming days to continue the sideways dynamics without significant attempts to rise higher.
Until the end of August, the sideways dynamics of the market will prevail, Pershikov predicted.
In his opinion, the rise in the price of bitcoin will begin in September-October as the hashrate of the main cryptocurrency network is restored.
In June, the amount of computing power used to mine bitcoin dropped by more than 50% after the introduction of a mining ban in China. At the end of July, the hash rate began to recover .
Recoilless growth
If bitcoin continues its recoilless growth with minimal periods of accumulation, then in the coming weeks quotations may reach the level of $ 55-60 thousand, says Nikita Zuborev, senior analyst at BestChange.ru.
In his opinion, this is rather a negative scenario, since such a rapid growth will provoke a new, even more serious fall.
“The smoother and more gradual the growth is, the higher the chances of setting new highs. With the proper trading volume during periods of accumulation at key levels, we can even start discussing six-digit forecasts again, ”the analyst noted.
The bitcoin dominance index remains a secondary factor, which in an ideal situation should continue to grow gradually, this indicates a shift in investor focus back towards the first cryptocurrency, Zuborev added.
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