Here’s Why BTC Traders Fear More Downsides Ahead!
This month could turn out to be the worst for Bitcoin as the price continues to fall. Bitcoin has fallen below the $19,000 level, a crucial support level for Bitcoin’s price chart. The crypto king is currently trading 5.29% lower at $18,770. According to Dennis Porter, CEO and founder of the Satoshi Act Fund, Bitcoin (BTC) prices will end this month “very, very low.”
The recent crash in the crypto market continues its bearish trend as the US dollar stands with extreme strength. According to CoinMarketCap, Bitcoin’s price has fallen over 8% this week. Porter also revealed that the current economic system may be the worst macroeconomic condition ever to occur in the market.
Dollar strength hurts Bitcoin
The king of swingers has unexpectedly traded near the bottom line and has not risen above the $20,000 price level since June. One of the significant reasons behind this fall is the robust strength of the US dollar as the greenback continues to rise to reach a new 20-year high.
The US 10-year Treasury also gained muscle. The dollar’s upward movement led to turmoil in the NASDAQ 100 and S&P 500. Since Bitcoin is a solid security for tech-based NASDAQ and tech stocks, stocks also touched the bottom line.
However, some experts have shown hope to investors by referring to this downfall as a boring phase. Regarding this, Martin Leinweber, product strategist for digital assets at MarketVector said, “Bitcoin is not dead. It’s just boring at the moment, so traders are already looking for alternatives.”
However, the dollar’s rise does not seem to stop here as the Fed’s stance may be more aggressive in the coming months. However, Powell believes that the Fed’s move to boost the dollar’s strength will help fight inflation.
Fear of more disadvantages?
According to crypto experts, Bitcoin price may continue to fall further and touch extreme lows. A prominent cryptoanalyst, Richard Heart, believes that BTC will fall to $11,000 before any increase in price.
If the selling pressure of Bitcoin continues, we may see a next support level of $17,500. Therefore, investors are advised to refrain from any massive investment in Bitcoin for the time being.
