Bitcoin price dip to $39.2K places BTC back in ‘bear market’ territory

After concerns about rising inflation, the prospect for several more interest rates from the U.S. Federal Reserve, and fears of a global shortage of food, the cryptocurrency market suffered a major setback on April 11.

Cointelegraph Markets Pro and TradingView data show that bears broke through the defensive line of $42,000 for bulls on Monday. This caused Bitcoin (BTC), to fall to a daily low $39,200 and many analysts are projecting even lower prices in short-term.

BTC/USDT 1-day chart. Source: TradingView

Here are some thoughts from analysts about Monday’s lower move and whether traders should be expecting more downside in the coming days.

$40,000 or nothing

Market analyst Michael van de Poppe foreshadowed the drop below $40,000, posting the following chart on Sunday. He highlighted the strong move of Bitcoin but also warned that it was only the weekend and that we still have to break this resistance zone.

BTC/USD 4-hour chart. Source: Twitter

Van de Poppe tweeted a follow up tweet after Monday’s pullback. He addressed the rejection at $43,000, and offered insight into the level to watch for the next support. The trader stated that “the green zone” would be the $43,000-44,000 range and should provide support for any bullish momentum.

This bear market is “different.”

BTC/USD 1-day chart. Source: Twitter

Decentralized finance advisor and pseudonymous Twitter Trader ‘McKenna provided insight into the confusion many crypto traders have experienced over the past year. He posted the following chart, which shows the Bitcoin price movement since April 2021. McKenna stated that this was the “worst bear market” she’s ever seen.

McKenna said,

“I don’t think we see below $30,000, but I’m more for choppy price action within this range which is also hell. Let my altcoins run, just need corn to chill.

The following chart was posted by a pseudonymous Twitter user, 360Trader, which demonstrates the consolidation range Bitcoin has traded in since November.

BTC/USD 1-day chart. Source: Twitter

360Trader said,

“Bitcoin consolidation continues… Leverage is under control… float still drying… This won’t last forever. Keep pushing, and just apply a band-aid.

Related: Bitcoin continues to fall as former BitMEX CEO sets $30K BTC price goal for June

What’s the future of Bitcoin?

Philip Swift, market analyst and founder at LookintoBitcoin posted the following chart, which shows the price rejection from the 1-year moving mean (MA).

BTC/USD 1-day chart. Source: Twitter

Swift claims that the 1-year MA has “acted as a pivotal point for bull and bear markets throughout Bitcoin’s history.”

Swift stated,

“Can’t call it a bullish market until we have convincingly retreated from the 1yr MA.”

The total cryptocurrency market is now worth $1.874 trillion, and Bitcoin’s dominance rate at 41.4%.

com. You should do your research before making any investment or trading decision.

2021's Most Anticipated Growth & Wealth-Building Opportunity

Join Thousands of Early Adopters Just Like You Who Want to Grow Capital and Truly Understand Cryptocurrency Together

Eileen Wilson

Eileen Wilson –Technology and Energy My Name is Eileen Wilson with more than 5 years of experience in the Stock market industry, I am energetic about Technology news, started my career as an author then, later climbing my way up towards success into senior positions. I can consider myself as the backbone behind the success and growth of topmagazinewire.com with a dream to expand the reach out of the industry on a global scale. I am also a contributor and an editor of the Technology and Energy category. I experienced a critical analysis of companies and extracted the most noteworthy information for our vibrant investor network.

Close Bitnami banner
Bitnami