A challenging month for the crypto market
June has been a difficult month for the cryptocurrency market, with all major cryptocurrencies facing significant losses due to hawkish signals from central banks and the ongoing uncertainty stemming from the Ukraine crisis.
Investors are worried about the potential for a recession, and if central banks continue with aggressive actions, this could push the global economy toward a downturn. In this scenario, Bitcoin and other cryptocurrencies could see further declines as investors shift their funds into safer investments.
Bitcoin price insights from analysts and experts
Mike Novogratz, CEO of Galaxy Digital, has suggested that cryptocurrencies could see a further 70% decline in the third quarter. Chris Burniske, a partner at Placeholder Ventures, a crypto-focused venture capital firm, believes the crypto markets could reach their lowest point in the latter half of 2022.
The consensus among analysts is that Bitcoin’s price will drop even further before it finds the bottom of the ongoing bear market. American investor Jeffrey Gundlach recently stated that he wouldn’t be surprised if Bitcoin hits the $10,000 mark á næstu vikum.
A survey by Deutsche Bank published last week predicted that the crypto crash could persist for several more weeks, although the bank anticipates Bitcoin’s price could recover to nearly $30,000 by year-end.
Bitcoin tæknigreining
Bitcoin continued its decline this week, falling below the closely watched $20,000 level. The risk of further declines remains, and according to technical analysis, breaking below the $17,000 level would signal that Bitcoin might test the $15,000 support. Edward Moya, a senior market analyst at OANDA, mentioned this Friday that the crypto market could experience another significant sell-off before it begins to recover. He added:
“If the sell-off in the stock market continues in the third quarter, Bitcoin could be vulnerable to one more sharp drop that may cause many traders to fear a plunge toward the $10,000 level.”
Athugaðu: Click on the Bitcoin graph above to view the key support and resistance levels more clearly.
The current price of Bitcoin is approximately $19,296, with a market capitalization of $366 billion. On this chart (from September 2021), I have highlighted the current support and resistance levels to help traders anticipate potential price movements. The more frequently the price tests a resistance or support level without breaking it, the stronger that resistance or support area becomes. If the price surpasses the resistance, it could potentially turn into a new support.
Bitcoin remains in a “bearish phase,” but if the price surpasses the resistance at $25,000, the next resistance could be near $30,000. The current support level is $17,000, and if Bitcoin breaks this, it would trigger a “SELL” signal, opening the path to $15,000. If the price drops below $15,000, which represents strong support, the next target could be around $12,000 or even $10,000. As of now, it seems more likely that Bitcoin will continue to fall in price over the coming month than rise.
Final hugsanir
Bitcoin and other major cryptocurrencies have continued to slide this week, and many analysts expect that the third quarter of 2022 will be a challenging time for both Bitcoin and the broader cryptocurrency market. The consensus is that Bitcoin’s price will drop further before it reaches the bottom of the ongoing bear market. Jeffrey Gundlach, an American investor, recently stated that he wouldn’t be surprised to see Bitcoin fall to $10,000 in the near future.
