On Thursday, the past few weeks’ euphorias surrounding the entire crypto ecosystem were tampered down. The reason was that bulls had tried to push Bitcoin (BTC) prices beyond $50k. However, the attempt resulted in a sound rejection.
Analysts Not Surprised By Bitcoin’s Behavior
TradingView and Cointelegraph Markets data show that after the rejection, Bitcoin prices fell all the way to a low $46,467. Only then did bulls manage to recompose themselves and stop the downward momentum.
Michael van de Peopp, a market analyst, identified the price level of $50k as one of Bitcoin’s most critical areas. According to him, the rejection means that BTC will most probably be experiencing a downward momentum for some time. However, the $44,000 price level has an immense amount of support. So this might keep the prices from falling any further. The price level of $51,000 was noted as the level to be beaten if the present bearish trend is to be invalidated.
Whalemap, a service offering data-tracking focused on crypto. Says that all predictions regarding a long-term bear cycle are too early, to say the least. The support level at $46,200 is important since the support level after that is all the way down at $39,600. Data regarding on-chain activity also showed that the selling volume is limited in the range of $46,200 to $57,400.
Will Clemente, a crypto analyst, gave some reassurances on Tuesday after the bearish short-term pullback warnings were issued. He took account of the activity of whale wallets and exchange inflows to indicate that the concerns were not without cause. However, he also added that the majority of the short-term bearish move is possible over.
The overall market capitalization of the crypto market currently has a value of $1.999Tn. The dominance rate of Bitcoin currently stands at 44.2%.