This is the first time in the history of Bitcoin. For the seventh time in a row, Sunday session closed with a weekly candle in the red. Record for the crypto leader. Are we on the verge of deteriorating? Should we, on the contrary, see this as a sign of a reversal of a trend that is closer than ever? Answer elements!
Bitcoin: 7 weeks in hell!
For 7 weeks, it’s an eternal restart and Bitcoin suffers a red tinted weekly candle. A trend that is impacting the market, although it has also had a major impact on the collapse of the Terra ecosystem.
The following graph, offered by the Coinmarketcap platform, shows the price of Bitcoin over the last 7 weeks:
Because at the beginning of this period, hope was in order again. Some observers even thought that Bitcoin was very close to a trend reversal. After flirting with the bar $ 35,000 at the end of February, the mother of cryptocurrencies seemed to be starting again. Close to $ 50,000. A level of resistance that Bitcoin will not even come to test.
7 weeks ago Bitcoin was trading against over $ 46,000. In the space of 7 weeks, therefore, the largest capitalization of the crypto market has lost 35% of its value. A trend that has been largely driven by the catastrophic sessions of May 5 to May 12.
In the space of 5 days, Bitcoin then dropped from 40,000 to less than $ 26,000 at the low point. May 12 was also the high point of the downturn, as Bitcoin reached test levels not seen since December 2020.
As of this writing, the price of Bitcoin is $ 30,032. I 0.30% increase. over the past 24 hours, in the context of a still-anticipated market. If you want, you can buy Bitcoin on eToro, a trusted and secure platform in France.
The threshold of 30,000 dollars to watch!
In the coming days, there will be eyes on the $ 30,000 threshold. A price level that could be a support or resistance level in the coming weeks, depending on the turn of the next session.
The market will also scrutinize next Sunday’s weekly candlelight. The eighth consecutive red candle could still help lead the market. Fence in the lock the first signs of a reversal could send a potential trend. Currently, the weekly candle is again marked in red. But it’s clear that this first session of the week is still far from giving us definitive results. Verdict next Sunday!
Can we expect a trend reversal?
Hopefully, yes! It is a guarantee, no. The Fear and Sint Index which measures market sentiment in the crypto sphere remains highly feared. At 14/100, though, this score is 4 points higher than Sunday’s score. At the lowest level, this indicator even dropped to 9/100.
In the face of a reversal of trends, global stock markets will also have their say. At this point, it is clear that Monday’s session is relatively neutral for the CAC 40 stock market index. The opening of North American stock markets should be able to give us more indications. Recall that last Friday the NASDAQ closed up more than 3.70%, wiping out, during its run, a large portion of the week ‘s losses.
Either way, some observers now believe that Bitcoin is likely to test the $ 25,000 levels or even the lowest mark of $ 20,000. In such a case, the market would return close enough to the highest level recorded. in December 2017.