Bitcoin (BTC), the culmination of a one-week sideways movement has resulted in disappointment for the bulls. So, on August 19, it quickly fell. BTC is down 6 percent in a single candle. So what’s next? Here are the expectations of analysts…
Bitcoin analysts expect a drop
Reacting to the dip, traders hoped that a rebound could allow consolidation above current spot price levels below $22,000. “I hope this was a quest for liquidity, otherwise it ends,” Crypto Chase told his Twitter followers. “It’s only a matter of time,” said Il Capo, who has long predicted a return to lows. He said new lows could come. In its latest update, he warned that consolidation below $22,500 will be “filled with bears.”
Second option playing out. Any test of 23500 as resistance is a good sell opportunity.
Consolidation below 22500 (clean break + use the level as resistance) would be very bearish = 21k or lower
New lows are just a matter of time. https://t.co/MzxrDCZuiZ pic.twitter.com/I5PatYduNW
— il Capo Of Crypto (@CryptoCapo_) August 19, 2022
Meanwhile, before the drop, analyst Venturefounder said that any price below $23,000 would be “a good price to buy in the long run.” He added that Bitcoin is unlikely to exit the bear market so far. The relative strength index (RSI) is still near all-time lows, speaking to the extent that BTC/USD is oversold. Still, signs of buying emerged below key bear market support levels, including the 200-week moving average and key whale entry levels.
Could $21,000 be lost?
According to on-chain analytics firm CryptoQuant, today, stock market exits have already totaled 21,500 BTC. In altcoins, the impact of Bitcoin’s return to three-week lows was felt sharply. Also, options data showed that Bitcoin’s short-term uptrend was at risk if BTC dropped below $23,000.
On the other hand, according to analyst Hassan Maishera, BTC is at risk of further losses. BTC had held its value above $20,000 in recent weeks. The bulls were hoping to hold above this level over the weekend. However, according to the analyst, the bulls need to defend the BTC price. It will also need to ensure that it does not drop below the $21,000 resistance level in the near term. The analyst points to the $20,000 support as important levels to watch. It also points to the $22,500 and $23,409 resistance levels. However, unless there is a “long bullish run,” he finds it a bit difficult to surpass $23,409.
Other cryptocurrencies also fall
Ethereum (ETH), the largest altcoin by market cap, fell 5.2 percent to trade around $1,750. cryptocoin.com As we reported, other major tokens lost over 11 percent. Dogecoin (DOGE) was the worst performer of the top ten, down 13.6 percent. “Be biased for now unless $1,790 is recaptured/turned to support,” Crypto Chase said as part of a separate tweet about ETH.
