Bitcoin, the leading cryptocurrency, experienced a significant decline in the past trading week. Prices dropped from $31,000, registered in April 2023, to its current level of just above $26,000, prompting market analysts to speculate on the possible cause. Michael van de Pope, a market analyst, suggested the possibility of traders transferring their investments to alternative coins which could have contributed to Bitcoin’s diminishing prices. He then emphasized that BTC needs to regain the $26,500 to $26,800 support zone for its uptrend to resume, otherwise it will remain weak at spot rates with a potential of dropping to $25,000. At the moment, BTC is trading at $26,379, down 3.80%, and has fallen 9.2% in the past week. Technical indicators on the daily chart point towards a negative outlook for BTC, with oscillators appearing overbought and then trending lower which could contribute to a further draw-down depending on investors’ behaviours. The next critical support to watch is around $22,000 which may act as a potential buying zone in the event of BTC crashing to immediate support.
Eva Perez
- 2023-05-12
Bitcoin Price Drops as Analysts Suggest Possible Cause
Bitcoin, the leading cryptocurrency, experienced a significant decline in the past trading week with prices dropping from $31,0000 to $26,000. Market analyst suggest possible cause for the price drop and a potential buying zone in the event of BTC crashing to immediate support.
![CandleFocus Bitcoin-Cryptocurrency-PriceDrop-BTC-SupportZone](https://images.candlefocus.com/Bitcoin-Price-Drops-as-Analysts-Suggest-Possible-Cause.jpg)