The euphoric calls for a return to bull market might have been a bit too early, especially after Bitcoin (BTC) bulls failed to propel the price above $46,000 on March 31. Despite the current pullback, analysts still expect a retest of the lower support at the $45,000 level.
Data from Cointelegraph Markets Pro and TradingView shows that today’s attempt to push the price of BTC above $47,500 was decisively rejected by the bears, sending the top cryptocurrency plummeting to $45,500.
Here’s a look at what several analysts in the market are saying about the price drop for BTC and whether traders should brace for more losses or prepare for more upside.
This is only a short-term correction
Not all traders were caught flat-footed by Bitcoin’s move lower on Thursday, including market analyst and pseudonymous Twitter user “IncomeSharks,” who Posted The following chart before the price drop notes that “4h looks like it’s about to correct a bit”.
income sharks said
“This isn’t me being bearish, just noting 3 reasons why a small correction makes sense. The supertrend is flattening out, we will likely retest this breakout and we can bounce off the trendline. Good time for me to take profits.”
BTC is looking for support between $42,000 and $45,000
The next available support levels to watch for were discussed by market analyst and economist Caleb Franzen, who Posted The chart below shows the 21-day, 55-day, and 200-day exponential moving averages (EMA) for Bitcoin, stating, “Sometimes it’s helpful to cut out all the noise, remove the price structure analysis, and just look at the exponential moving averages.”
“All are potential support for Bitcoin, giving us a range of $42,000 to $45,000.”
Related: Bitcoin derivatives metrics favor a move to $48,000 but only after a retest of lower support
A necessary phase of sideways consolidation
A more macroscopic view of what’s next for Bitcoin was provided by analyst and pseudonymous Twitter user “BTCFuel,” who Posted The chart below compares BTC price action in 2012 to its current action and suggests that “after surging 28% in the last 2 weeks and breaking through major resistance, some sideways consolidation should be good for bitcoin.”
BTC Fuel said:
“I believe bitcoin will slowly and steadily move higher over the next few months like it did in 2012. But altcoins will go nuts.”
The total cryptocurrency market cap is now $2.087 trillion and Bitcoin’s dominance rate is 41.6%.
The views and opinions expressed herein are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should do your own research when making a decision.
https://cointelegraph.com/news/analysts-debate-bitcoin-s-next-step-after-today-s-45-5k-retest Analysts Discuss Bitcoin’s Next Move After Today’s Retest of $45.5K