Bitcoin Bears Are Likely To Dominate Longer: Traditional Markets To Blame?
Bitcoin displayed an unexpected move in the past few days by squashing the possibilities of reaching $30,000, enrouting through $25,000 initially and later at $28,000.
However, the recent price plunge changed the entire scenario, as now the price is expected to revisit the support below $20,000 again.
The price of Bitcoin dropped from the ascending triangle and eliminated the possibilities of a bullish reversal for some time, as the market may remain consolidated for an extended period.
Will the Bitcoin price continue to consolidate towards the south, or may a bullish push relieve the token from bearish influence?
A popular analyst, DonAlt, tells his 464.8K followers that the traditional financial markets, like stocks, may have a bearish impact on the Bitcoin price. According to him, the BTC price may flip the bearish trend once the traditional markets turn bullish.
“BTC is being dragged by the traditional markets but refusing to make a new lows while the S&P [stock index] is bleeding out. The moment the traditional markets bounce, I’m expecting a massive outperforming green candle from BTC,”
The analyst further updated that, in the times when the BTC price traded flat, the traditional markets rallied big. He also notes that BTC’s less-than-stellar reaction to the stock market bounce is not “optimal.”
Meanwhile, another popular analyst, Altcoin Sherpa has also laid down the possibilties of an extended bear winter.
“BTC: some mark the top as May 2021. Others mark it at November 2021. Either way, it’s been a long time during this Bitcoin bear market.
And there’s likely to be much longer before BTC price truly ‘bottom’s out’.