As Bitcoin languishes under $40,000 over the Easter weekend, the precious metal is taking the show.
Bitcoin (BTC) is due for a relief bounce, but it still faces a collapse to $30,000 before May.
On April 18, BTC/USD was hovering at $39,000 as gloomy forecasts for the currency grew.
Due to the Easter weekend, Bitcoin faced thin liquidity after losing $40,000 support overnight into April 18. This was due to the absence of US and European equities trading.
The Bitcoin price is currently in the negative territory and the coin is about to cross below the channel’s lower threshold.
The Relative Strength Index (14) is passing below the 40-level today as the market price falls, confirming the bearish trend.
A sustained move over the 9-day moving average might be found at $40,500 on the upside, allowing for a longer rebound towards the resistance levels of $44,000, $46,000, and $48,000.
An surge in selling pressure across the market, on the other hand, might push the Bitcoin price down a painful route toward the $35,000, $33,000, and $31,000 supports, respectively.
What Analyst Say?
A near-term drop, according to prominent trader Crypto Ed, should bottom out at $37,500 before a rebound kicks in.
“First need to reclaim $40,000; if we manage that, it’ll certainly give a bullish impulse to the market,” he said in a YouTube video.
If that happens, $43,000 might be the local high, but the outlook is gloomy going ahead. Crypto Ed forecasted a recurrence of previous negative swings intermingled with a brief relief rebound using Elliott Wave analysis. He came to the conclusion that the goal was $30,000.
Bitcoin is a popular Twitter account. Jack also predicted that the following weeks will be a watershed moment for longer-term price action.