Bitcoin, the world's leading cryptocurrency, continued its sideways movement below the $70,000 level today, continuing the volatility pattern that has been going on for the past few days.
In the morning hours, the price of Bitcoin fell by approximately 1% to $68,800. Ethereum, the second-largest cryptocurrency by market cap, also fell 1.8% to $3,500.
Noting the current market conditions, Justin d'Anethan, head of APAC business development at crypto market maker Keyrock, said, “Right now, prices are moving sideways with no clear catalysis to move prices up or down.” said.
He noted a trading range between $69,000 and $71,000 over the past four days, suggesting investors are cautious about surpassing all-time highs, but demand remains strong in the face of any selling pressure.
“There is no clear trigger for the minor surge this time,” said Lucy Hu, senior analyst at Metalpha, describing the recent price drop as part of a normal adjustment.
As the highly anticipated Bitcoin halving event approaches later this month, market analysts are speculating about its potential impact on price movements.
D'Anethan emphasized that the historical trend of a downward trend immediately following halvings is followed by periods of sustained rise. However, he cautioned that it is difficult to predict market behavior during an already long bull run.
D'Anethan attributed some of the recent market dynamics to the anticipation and realization of Bitcoin spot exchange-traded funds (ETFs) on American exchanges.
He stated that this development attracted previously inactive investors and thus affected the market dynamics.
*This is not investment advice.
