As Bitcoin and altcoins continue to trend downward despite incoming positive economic data, analysts are predicting a deeper Bitcoin (BTC) price correction in the coming weeks due to selling from miners and general profit-taking.
Speaking to Coindesk, FxPro senior market analyst Alex Kuptsikevich stated that there is a new wave in the strengthening of the dollar and increasing demand for stocks, “The demand for risky assets is gradually decreasing, which causes Bitcoin to fall.” said.
“Bitcoin continues to test the strength of the 50-day moving average, but fails to find sufficient reason to move lower.
“Such persistent testing of the lows sets the bears up for quick success towards their next target of $60,000.”
Japanese crypto exchange BitBank analysts also evaluated BTC movements. Pointing to the miners for the decline in BTC, analysts said, “Bitcoin's upward potential remains limited due to miners' demand for cash and selling. Since May, the net position of Bitcoin miners (BTC inflow – BTC outflow) has been gradually decreasing, which means that the Bitcoin network has increased in April. “It shows that its operations have tightened since it was halved in 2018.” said.
BitBank analysts recently added that increasing BTC sales from miners puts pressure on the Bitcoin price, but the BTC price tends to remain stable.
“The situation in Ethereum (ETH) is worse than Bitcoin!”
Finally, Rachel Lin, CEO and co-founder of SynFutures, also made an evaluation. Lin said that according to technical indicators, Bitcoin and Ethereum are showing a downward trend, but the situation in ETH is worse than BTC.
“From a technical perspective, both Bitcoin and Ethereum are trending downwards, but ETH looks worse than BTC.
If ETH does not regain the $3,700 level soon, we may see more downside in the coming days and weeks.
“$67,000 remains the critical level for BTC, but my long-term bullish expectation continues.”
*This is not investment advice.
