The price of Bitcoin was under pressure this week due to commercial concerns. However, according to crypto analyst Crispus Nyaga, two rare models indicate a final recovery.
Crypto fear and greed index and CNN Money index declined!
While Bitcoin fluctuated, the crypto fear and greed index fell to the 35 -horror zone this week. Most of this weakness stemmed from the fear of the trade war between the US and the greatest partners. The US has already begun to apply customs duties to Chinese goods that may affect the trade volume of exceeding $ 450 billion. Although the customs duties of Canada and Mexico have been stopped, there is a possibility of restarting next month.
These commercial tensions led to a sense of fear among market participants. The crypto fear and greed index fell to the level of fear, while the CNN Money index decreased to 39. Bitcoin remained at the border because investors are on the sidelines for now. The strategy pauses Bitcoin purchases, while CoNSS data points to the weak -term transaction open interest. Spot Bitcoin ETF entrances remained around $ 57 billion from $ 57 billion from $ 68 billion, the highest level of this year.
Bitcoin term transaction open interest. Source: coinglassThe price of Bitcoin fluctuated at the first monetary policy meeting of the year due to the Federal Reserve, which pointed to a hawk tone. The bank did not change interest rates and implied that it would only make two discounts this year. Bitcoin and other Altcoins perform well when the Fed has a pigeon tendency.
Technical data indicates recovering at bitcoin prices
The weekly graph shows that BTC usually creates two rare graphics formations that often lead to significant gains over time. The first of these is a ‘cup and handle’ formation between November 2021 and November last year. This formation consists of a rounded bottom to form a horizontal line and a trophy, which follows some consolidation. The profit target is determined by measuring the depth of the cup and then the same distance from the top of the cup. In this case, the depth means about 80 %, ie crypto currency will go to $ 123,000.
Bitcoin’s latest consolidation is part of the Taurus Flag model, which has a long vertical line and a rectangular pattern. The size of the flagpole is about 55 %. Measurement of this distance from the upper side indicates a break of $ 166,000. The trick of this BTC price estimate is that it can take time because it uses a weekly graph. For example, it took about three years to form a C&H formation. Therefore, it may take time to complete the rise of Bitcoin to $ 166,000.
BTC price graph.The opinions and estimates in the article belong to the analyst and are not definitely investment advice. Kriptokoin.comWe recommend that you do your own research before investing.
