After trading above the highly sought-after $30,000 threshold for a few days, Bitcoin has fallen below that mark and is currently at its lowest point in five days.
$BTC managed to stay above the $30,000 mark for several days after surpassing it last week. The most notable increase in value happened on Friday when $BTC reached $31,000, the first time it had done so since June 2022.
However, the market was affected by bearish sentiments, leading to a decline in $BTC’s value. Within a few hours, $BTC’s worth plummeted to $30,000, but it managed to sustain that level throughout the weekend despite low trading volumes.
Towards the end of Sunday, $BTC began to experience an upward trend, but it stopped before reaching $30,600. $BTC then fell to its lowest point in five days, at $29,800.
BTC experienced a minor recovery of roughly $100 but is still valued below $30,000. Its market capitalization decreased to less than $580 billion. It also lost more ground in dominance over other cryptocurrencies, dropping to 45.7 percent after exceeding 47 percent just one week prior.
BTC to reach $45K in May
Despite this decrease, senior analyst at K33 Research Vetle Lunde predicted that $BTC would follow a similar pattern to its early 2019 surge and potentially reach a peak of approximately $45,000 around May 20.
Lunde said the current drop and subsequent recovery are similar in length and trajectory to the 2018-19 bear market pattern. He explained that both cycles had bottoms that lasted about 370 days, and the peak-to-trough return after 510 days reached 60 percent.
In 2018, the cryptocurrency fell 84 percent and hit a low of $3,100 in December. The trend reversed in the following months, with prices rising to $3,700 at the start of 2019 and reaching a high of $13,800 by the end of June.
In regards to $BTC . d since a few people have asked. I think that if you're going to get an alt season. It needs to be in the next 2-4 weeks (and btc has to go sideways) Bc of historical context of both bitcoin and BTC.d locations. And alts near 2017/18' highs https://t.co/8EejmYPp9c pic.twitter.com/sb8kfMKfHU
— Pentoshi 🐧 euroPeng (@Pentosh1) April 11, 2023
Crypto analysts on Twitter have referred to Bitcoin’s rise this year as a “hated bullish move” because many prominent traders were anticipating a further sell-off in the first quarter.
This type of bull market typically starts when pessimism is at its highest and gains momentum as investors who had reduced their risk in anticipation of a prolonged downturn begin to feel left out and jump back into the market.
Lunde pointed out that the current $BTC rally shares similarities with the “hated rally” of 2019, which ended with a significant price surge followed by a 40-60 percent from its all-time high in 2017.
Roughly speaking my thesis for #Bitcoin.
Still a vacuum in which we continue the upwards rally through Q2 as Powell comes to an end with the hikes.
Comparable to Q2 2019, which also rallied significantly.
Correction to $25K in second half, as recession slams in. pic.twitter.com/wnT5Wev1ii
— Michaël van de Poppe (@CryptoMichNL) April 11, 2023
ETH’s most recent peak
In contrast to $BTC, Ethereum saw a slight increase in value today, reaching its highest price point since May of the previous year.
Last week, Ethereum’s highly-anticipated Shapella update took center stage, stealing $BTC’s limelight. Following this, $ETH’s native token outperformed $BTC and increased its dominance. Recently, $ETH surged to over $2,130, marking an 11-month high, before dipping to just below $2,100.
If $ETH can maintain its momentum and close above $2,150, it could trigger a new uptrend that may push the price to as high as $2,250 or $2,300.
According to ARK Invest’s CEO Cathie Wood, $BTC and $ETH have demonstrated strong resilience amidst recent financial sector turbulence by surpassing other assets and performing like gold.
She claimed these two cryptocurrencies as “flight to safety” assets during periods of macroeconomic uncertainty, which could indicate broader acceptance and adoption.
Binance Coin, Dogecoin, Solana and Litecoin saw an increase in value, ranging between 3-4 percent in a day. $BNB now trades at $343, $DOGE above $0.9, $SOL at $25 and $LTC at almost $100.
