- Bitcoin price continues its downtrend as the asset tracks the 200-day simple moving average.
- Proponents believe a tighter monetary policy and a benchmark US interest rate spike could increase headwinds for Bitcoin price.
- Analysts have revealed a bearish outlook on Bitcoin, predicting a drop in BTC price.
Bitcoin price plummeted from its Thursday high of $42,965 but analysts believe the Bitcoin price trend is showing signs of improved momentum. To conclude, BTC could resume its climb to $48,000 on one condition.
Bitcoin price could resume uptrend if this condition is met
Jerome Powell, the chair of the Federal Reserve, said a rise in the benchmark US interest rate by 50 basis points “will be on the table” at the next Federal Open Market Committee (FOMC) meeting.
Historically, tighter monetary policy measures have increased selling pressure on cryptocurrencies as investors pull out from speculative and highly volatile markets. Typically, Bitcoin price has dropped in response to tighter monetary policy measures, and the outlook on BTC is bearish.
Bitcoin has continued its downtrend and stayed above the $40,000 level, tracking its 200-day SMA. Analysts, however, believe Bitcoin price could recover from the slump with increasing momentum. Bitcoin could resume its climb to $48,000 and target the $50,000 level.
A three-day spike in Bitcoin price has pushed the price higher, bringing the 200-day SMA level at $48,000 into focus. Analysts have set a downside target of $38,550 for the Bitcoin price.
@twocommapauper, a crypto analyst and trader, believes Bitcoin price is caught in no man’s land, and it has been ranging for nearly 48 weeks now. The analyst believes neither bulls nor bears are in control of the price.
#bitcoin market report + On-chain.
— Two Comma Pauper (@twocommapauper) April 22, 2022
On the weekly, $BTC remains trapped in no-man's land between two channels that we've been ranging in for the past 68 wks. i.e. Neither bulls or bears are in control - the cautious trader should wait for a break before taking a trade. pic.twitter.com/nT0KD27wsb
FXStreet analysts believe Bitcoin price could witness a trend reversal and face resistance at the $44,000 level, eventually expecting BTC to retest $46,000.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
SEC doubles down on TRON's Justin Sun lawsuit dismissing claims over jurisdiction
The SEC says it has jurisdiction to bring Justin Sun to court as he traveled extensively to the US. Sun asked to dismiss the suit, arguing that the SEC was targeting actions taken outside the US.
XRP fails to break past $0.50, posting 20% weekly losses
XRP trades range-bound below $0.50 for a sixth consecutive day, accumulating 20% losses in the last seven days. Ripple is expected to file its response to the SEC’s remedies-related opening brief by April 22.
ImmutableX extends recovery despite $69 million IMX token unlock
ImmutableX unlocked 34.19 million IMX tokens worth over $69 million early on Friday. IMX circulating supply increased over 2% following the unlock. The Layer 2 blockchain token’s price added nearly 3% to its value on April 19.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days?
Bitcoin: BTC post-halving rally could be partially priced in Premium
Bitcoin (BTC) price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days?