" ' Scare is fueling the bears'. What will become of Bitcoin in the coming period
Experts told how the price of the first cryptocurrency will change in the short term
On the morning of October 2, bitcoin was at $19.2 thousand, its price rose by 1.8% over the past week, according to CoinGecko. Experts have analyzed the situation in the cryptocurrency market and told how events will develop in the near future.
"The growth scenario is unlikely."
Development Director of EXMO.com
We expect further downward movement to support levels of $16.5-14.5 thousand. One of the key reasons for this forecast is the high correlation of S&P and BTC. If we look at the current situation (see charts), we might see that the market collapse similar to 2008 is likely to take place.
Additionally I`d like to mention that BTC was accompanied by the biggest sell-offs of miners during the last 2 years, about 8 thousand BTC per month (Glassnode data), that also affected the speed of BTC falling and the general stance.
If we break through the $20,400 resistance level, we could see a move to $22,500, but that scenario is unlikely.
"Bitcoin follows the stock market."
ENCRY Foundation co-founder
Bitcoin continues to be influenced by negative statistics on high inflation in European countries and the U.S. As soon as some such information is published, investors immediately have a panic concerning further fall at the stock market, and bitcoin follows the stock market, as a high-risk asset.
This same panic feeds bears, not allowing bitcoin to fall lower than $18k. Some investors prefer to transfer part of their capital to cryptocurrencies to hedge inflation risks.
For example, the other day there were statistics on the trading volume in the British pound to bitcoin, and on September 26 there was a record of $881 million against an average of $70 million over the past two years. All this happened against the background of statements about possible tax breaks, which will lead to an even greater acceleration of inflation, which has already reached 10% in the UK.
That is why I suppose bitcoin will fluctuate between $18K and $20K in the nearest week.