Why is the probability of a decrease in the value of the first cryptocurrency (Bitcoin) to $ 40 thousand in the next few weeks and to what level the price of an BTC can fall in the most negative outcome?
On December 29, the price of bitcoin fell below $ 47 thousand. The cryptocurrency is trading at $ 47.8 thousand, and its capitalization is $ 908 billion, according to CoinGecko. Experts predicted to what level bitcoin may collapse in the near future.
The probability of falling to $ 20 thousand is real !!
In mid-December, trader Ton Weiss warned that the bitcoin rate could collapse to $ 20,000 as part of the current correction.
According to Weiss, this will happen if the asset breaks through the 50-week moving average (MA) in the region of $ 47 thousand and consolidates below.
In the event that bitcoin breaks through the 50-week moving average, the price of the BTC may indeed fall significantly, says Mikhail Karkhalev, financial analyst at Currency.com crypto exchange.
“A decrease to the $ 20 thousand region is possible in theory, but it seems to me that if this happens, then bitcoin will grow very impulsively to the $ 30 thousand region,” the analyst explained.
The recovery to $ 30 thousand will be very sharp, since there are a large number of investors on the market who want to buy bitcoin at the lowest price. The most likely scenario in the coming months is a “sideways” movement in the range of $ 46-52 thousand, the analyst predicted.
Thin Market
At the moment, there are no negative factors on the crypto market that could provoke a collapse of bitcoin to $ 20 thousand, says Viktor Pershikov, a leading analyst at 8848 Invest.
In his opinion, the current decline in the asset is due to the profit taking by large holders of the cryptocurrency, who bought it at the end of last year.
“The trend remains bullish and the current correction is suitable for buying bitcoin,” the analyst noted.
The bitcoin rate on the “thin” market during the New Year holidays may fall to $ 40 thousand, Pershikov admitted.
According to him, in the first weeks of next year, the cryptocurrency (BTC) will continue to trade in the range of $ 40-60 thousand. The analyst advised using the depreciation to increase asset purchases with the prospect of new cryptocurrency highs in 2022.
