Bitcoin price has undergone a roller-coaster ride with huge price fluctuations. While during the previous day’s trade the price did try to hit above $37,500 yet ended up plunging below $33,000. However, the BTC price was successful to close the day’s trade above $36,700. And this bullish close ignited the asset to yet again hit the levels above $37,500. This was when the bears jumped back in action to extract their profits and dragged the price around $36,000.
Considering the previous day’s and the current day’s price variation, one can easily say the uptrend that Bitcoin wants to establish maybe a fake one. And hence the BTC price going back to $30,000 initially and later $20,000 seems imminent.
On the other hand, the funding rates are going negative along with the Bitcoin rates just for a short squeeze maybe to wash out the leverage before going lower. But still, the expectations of the asset going to $100K still prevails within the crypto space.
One of the popular analysts has presented his case study on how Bitcoin is still in a race towards the $100K milestone.
The analyst analyzed the similarity between the Bitcoin and the S&P 500 Index chart and believes the asset to be right on track to hit $100K or even more. Bitcoin has been moving in the $20,000 to $60,000 range for more than 400 days. And if indeed it is an accumulation, BTC is just replicating the SPX 500 scenario. Therefore, as per the chart, analysts believe Bitcoin may have yet another wave of decline towards the $20,000 levels which may be the best buying zone.
Moreover, if Bitcoin Price follows the SPX 500 rally to hit the higher levels, then $100K levels or even higher levels very soon. However, the crucial support levels for the Bitcoin price are along the $31,000 to $30,000 price zone. And currently, the asset has flipped a couple of times when it was on its path towards these levels.
However, while breaking the $40,000 zone also the asset behaved in a similar way but finally dropped drastically. And hence after swinging around $31,000 for another 10 to 15 days, the asset may eventually plunge hard below $30,000.
Source: https://coinpedia.org/price-analysis/bitcoin-recovery-began-or-just-another-fake-pump/