Bitcoin (BTC) is still holding support over $37,500, but it may experience further volatility in the next few days.
At press time, the cryptocurrency was trading at around $38,000, essentially unchanged over the previous 24 hours and week.
On daily, weekly, and monthly charts, momentum signals have decreased, increasing the risk of a market breakdown.
The lower support can be found between $30,000 and $32,000, which could help to moderate the pullbacks in the short term.
For the time being, investors have been unable to maintain weekly closures above $40,000.
Is BTC Price Hitting $100k, still happening?
Bitcoin may not go below $30,000, but instead may rise to $100,000 before crashing to new lows. That was the conclusion of popular trader Credible Crypto, who revised his forecast for Bitcoin price action on May 2.
The cause for this can be found in the framework of history. When the market expected a capitulation event in prior years, such as in 2019, Bitcoin was able to recover to the upside.
After seeing a macro top, it only swept the projected lows much later, in March 2020, and there is every reason to believe that this time will be similar.
Credible Crypto plotted out a climb to a new macro peak of between $100,000 and $200,000 for BTC/USD in a video using Elliott Waves, before a decline that could reduce liquidity to $30,000 or lower.
After the all-time highs in November 2021, he noted, there was “nothing wrong” with expecting a sweep of the lows.
“But again, based on market context and everything else that I’ve seen, I think that’s a little bit more unlikely; I think it’s a lot more likely that we leavpe these lows untapped and simply continue up,” he added.