Bitcoin Will Not Go Down Below $28,000, Asserts On-Chain Analyst
Other potential bearish indicators come from the macroeconomic landscape. The brighter US growth prospects contested assumptions about a more US dollar bear market. After completing 2020 down by 6.76 percent, the greenback recovered by 1.2 percent in the first week of 2021, forcing analysts to rethink their long-term bearish bias.
“There are many institutional investors who bought BTC in the 30-32k level,” Mr. Ju said. Speculative guess, but if these guys are supporting this bull-run, they will protect the 30k level. Even if we have a dip, it won’t go down below 28k.”
Ki-Young Ju, the chief executive officer in CryptoQuant — a blockchain analytics company in South Korea, asserted that the BTC/USD exchange rate would not fall below $28,000.
Published at Wed, 13 Jan 2021 11:21:23 +0000
A strong downside correction in the Bitcoin market seen before this week is threatening to turn into a full-fledged bear trend as BTC/USD struggles to move past certain technical resistances.
That stopped the Bitcoin bull run midway also as traders decided to secure their gains at local tops. Now, a deeper price correction is seeing limited over-the-counter prices, minimal stablecoin inflow into exchanges, and an increase in miners-led sell-off–all pointing to a bearish continuation in the Bitcoin marketplace.
“Bitcoin isn’t going any lower than $32,000 as long as the uptrend line continues to hold,” the analyst stated, putting the cryptocurrency’s potential upside target close to the downtrend line–which is above its previous record high near $42,000.
1 independent chartist stated the BTC/USD exchange rate would not slide below $32,000 predicated on technical support that lingers around the level. The pseudonymous thing presented the pair within a Symmetric Triangle pattern, supported by at least two responsive tops on a downward sloping trendline and two responsive lows on an upward sloping trendline.
However, one analyst believes that isn’t the case.
Many dealers agree that the pair could continue its move lower, forming a potential Head and Shoulder pattern, a bearish reversal structure. As Bitcoinist covered here, the routine’s technical downside target is below $20,000, a move that would take Bitcoin down by more than 50 percent from its record high near $42,000 established on January 8.
Bitcoin trade setup, as presented by Rekt Capital.
More seasoned analysts support a potential Bitcoin price pullback as the cryptocurrency traded 16 percent greater from its local low near $30,000.