Will Bitcoin Price Hold $25k Amid Incoming Mild Recession? Here’s a Close Look

The crypto market has been on a rollercoaster ride lately, and last week was no exception. Bitcoin and Ethereum both suffered significant losses, dropping by 9.8% and 13.1% respectively. As of mid-morning during the London trading session, Bitcoin and Ethereum were hovering around $27.3k and $1,842, causing concern for investors. 

Adding to the uncertainty, Bitcoin’s dominance is slipping even further with the emergence of highly volatile meme coins, like $PEPE. With altcoins accounting for almost half of the entire crypto market cap, this shift in cash flow from Bitcoin to altcoins could worsen the ongoing correction and lead to even lower prices. 

Related: Crypto Whales Make Millions Profit Through These New Meme Coins: $PEPE, $WOJAK, $AIDOGE – Coinpedia Fintech News

Keep reading to learn more!

Bitcoin Price Analysis

According to a social media influencer and analyst, Bitcoin price is technically headed for the support level of around $25k following a strong rejection of around $30k. With the fear and greed index at a neutral standpoint, the analyst anticipates the Bitcoin market to continue correcting in the coming few months.

Related: Bitcoin Price Prediction 2023, 2024, 2025, 2026 – 2030

He, however, recently noted that the Bitcoin market could throw a curveball and rebound above $30k. It’s important to note that the support zone around $25k is significantly strong.

Is recession around the corner?

With the geopolitical differences fueled by the ongoing war between Ukraine and Russia, market economists anticipate a mild recession in the second half of this year. Moreover, the Fed recently admitted a mild recession is highly likely before the end of this year

“Given their assessment of the potential economic effects of the recent banking-sector developments, the staff’s projection at the time of the March meeting included a mild recession starting later this year, with a recovery over the subsequent two years,” the meeting summary said.

Related: Expert Warns of Massive Correction for Bitcoin and Ethereum as US Economy Teeters on Recession – Coinpedia Fintech News

The discussion around is whether the United States among other major economies can avoid a recession with a soft landing.

What do you think- are we headed for a recession in the crypto markets or is this just a temporary correction? As always, stay tuned to Coinpedia for all the latest updates!

Source: https://coinpedia.org/bitcoin/will-bitcoin-price-hold-25k-amid-incoming-mild-recession-heres-a-close-look/