The Bitcoin price is poised to hit the $6,000 USD support. Traders in crypto are anticipating a bull run to push it further to $7,500 in the short-term. However, the last 24 hours have shown a downtrend. The bears are taking control as opposed to the most anticipated rally.
A spot check from high profile exchanges including BitMex shows some glaring imbalance in buy and sell orders. The current decline is a clear indication that Bitcoin demand is easing off. This is a repeat of December 2018 during the crypto boom when the price skyrocketed before plummeting. This shows it will take a few months for the price to recover.
Historical records show that price recovery takes about four months. This makes the current recovery unusual. It is not possible for the market to recover with a V-formation in place, says crypto whale Joe007.
Wall Street wary as Bitcoin price correction sets in
It is clear there is shifting interest from US stocks to crypto. This is because of the ongoing market recovery. This is due to the current recovery. Wall Street and institutional stakeholders are worried due to the current price correlation. According to Thies, a technical analyst and crypto trader says
But PentarHUdi, a trader argues despite the global panic the bearish outlook might not affect the global market but cautions that:
This might not end as well as I thought. As the bearish potential of global markets is huge.
Bitcoin price Bottoming could be at the lowest
The correlation with the U.S stocks and Bitcoin appear to be low since March 24. However, Dow Jones spiked by 6 percent Thursday. However, Bitcoin’s stability has been witnessed in the last two days. A drop in the altcoin front could be attributed to decreasing demand for high-risk assets but according to DonAlt, a crypto trader, Bitcoin price could go either way.