Bitcoin rate fell below $ 48 thousand amid cooling market
The price of BTC dropped below the $ 48 thousand level, reaching its lowest level in the last 48 days. In less than a day, the price of bitcoin dipped from $55 thousand to $47.5 thousand. By lunchtime, the correction turned into a sideways movement, and the market began to make attempts to return the lost positions. So on April 23, Bitcoin traded in an average range between $ 48,000 to $ 50,000 with a daily loss recorded at close to 9%.
Some analysts are expecting the return of the balance of flow after a prolonged overheating of the retail market. Since the rate drop on the daily chart below the 100-day moving average, it is possible that it will continue to decline to a new Low of about $ 46,000.
Also among the main reasons for the sharp collapse of the main cryptocurrency; according to experts, may be the proposal by US President Joe Biden to double the tax on capital growth.
Does Bitcoin Expect a Protracted Descent?
According to JPMorgan analyst Nikolaos Panigirtzoglu, the bitcoin market expects a protracted decline due to weakening investor support. An analyst believes that the Bitcoin market will gradually fade over the next few months.
According to him, the current downturn will not be stopped by buyers, as it was before. At the same time, institutional investors will stop inflating the future markets and will continue to actively liquidate their positions, which will only accelerate the rate of interest decline, as this was the case in mid-February, January and late November last year.
Nikolaos Panigirtzoglu considers the current level of impulse signals to be overestimated due to the direct listing of shares of the crypto exchange Coinbase on Nasdaq on April 14, which inspired the market and served as a powerful impact for the growth of prices for almost all cryptocurrencies.
Unlock the potential of blockchain, crypto and decentralized technologies with the information available on the media platform Encoiner.com
