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As Bitcoin plummets to bridge the gap on the CME, rumors are that we will hit all-time highs in two years

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As Bitcoin plummets to bridge the gap on the CME, rumors are that we will hit all-time highs in two years
Written by aquitodovale

As of today, Bitcoin (BTC) continues to keep its fluctuation within the range, despite the current price action tending to the downside.

BTC / USD (Bitstamp) hourly chart. Source: TradingView

Despite the decline in DXY, there is no joy for BTC bulls

Cointelegraph Markets Pro and TradingView confirm the trajectory of BTC / USD, which has returned to fluctuate around $ 29,000 after breaking the support of $ 30,000.

On an hourly timeframe, the pair then reiterated the familiar pattern within the range, refusing to explore more extreme territories, both up and down.

“The crucial breakout for Bitcoin is once again the $ 29,400 area. If it breaks it -> next test at $ 30,000”summarizes Cointelegraph collaborator MichaĆ«l van de Poppe, in his latest update on Twitter.

“Overall, range-bound movements”.

Even the ongoing annual meeting of the World Economic Forum gave no significant signs of market movement in the early days. Meanwhile, the Bitcoiners have reunited at theOslo Freedom Forumevent that Alex Gladsteinchief strategy officer of the Human Rights Foundation, called it “diametrically opposite”.

Meanwhile, BTC / USD managed to close down the CME futures gap, which opened towards the end of last week.

“US equities are showing signs of reversal this week. $ BTC fell with them and will now go back up together. CME gap filling evident. Don’t fall behind.”continued the popular Twitter account IncomeSharks.

Bitcoin futures hourly chart on CME. Source: TradingView

Continuing the macro theme, markets analyst tedtalksmacro illustrated why cryptocurrencies and risk assets in general are not taking advantage of the new weakness in the US dollar.

The US dollar index (DXY) stood at 102, down 3 points from last week’s 20-year highs.

When the ECB raises rates, the DXY will peak. Goldman Sachs believes this will happen in September …

The Fed is currently leading the other major central banks in the tightening process, hence the dollar’s outperformance to date.

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One might think that the collapse of the dollar means a rise in stocks and #BTC, but no!

The DXY is moving lower due to the hawkish comments from the ECB and not due to a natural increase in risk appetite … hence no impact on cryptocurrencies and stocks.

(The euro represents about 58% of the DXY)

Two years of waiting to review the $ 69,000?

Looking ahead, however, hopes for significant gains for Bitcoin remain low.

For The Chief of Crypto, a crypto analyst active on Twitter and well known for his sober views on BTC’s prospects, hodlers may have to wait until 2024 to break out of all-time highs of $ 69,000.

That year we will see the next Bitcoin halving: the reward perceived by miners will decrease by 50%, halving from 6.25 BTC to 3.125 BTC per block.

Can the bear market end sooner?

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No. I expect a good recovery after this latest drop (rebounds of 100-500% depending on the currency), but over the course of the year we could see the bear market continue. I don’t expect any new all-time highs until mid-late 2024 (after the next halving).

General sentiment appears to be expecting further capitulation, taking BTC / USD below its May lows of $ 23,800.

As Cointelegraph reported, the current price action spot features a increasing squeezing of the profitability of miners. Tomorrow, the difficulty is set to decline by an estimated 3.2%, the largest retracement of that value since July 2021.

The views expressed herein are solely those of the author and do not necessarily reflect those of Cointelegraph.com. Every investment carries risk – you should conduct your research before making a decision.



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