• Bitcoin price has dropped 2 percent today and is trading around $23.4k on Friday.
• On-chain data shows Bitcoin miners have reduced their sell pressure after taking profits in the past few weeks, while whales continue to accumulate Sats.
• Popular crypto analyst Rekt Capital thinks Bitcoin will break the macro downtrend next month or in April.
Bitcoin Price Down Today
Bitcoin price has edged 2 percent lower today to trade around $23.4k on Friday. After retesting $24k twice on the four-hour time frame, the RSI indicator has formed a falling divergence that most often leads to a price dump. Bitcoin bulls should be extremely careful with the death cross, which entails the 50 and 200 WMAs, not to happen for the first time since its inception.
Significance of 50/200 WMAs
The 50 and 200 WMAs have acted as a support line for the past ten-plus years and would turn to a resistance line if the death cross occurs. Nevertheless, popular crypto analyst Rekt Capital thinks Bitcoin will break the macro downtrend next month or in April. Moreover, on-chain data shows Bitcoin miners have reduced their sell pressure after taking profits in the past few weeks. Additionally, whales continue to accumulate more Sats irrespective of the price volatility.
Macroeconomic Influence
By now, it is safe to say that Bitcoin price has a significant correlation with global market indexes due to high institutional adoption and crypto regulations. During the last few days, Bitcoin price has reacted to news from Federal Reserve statement regarding interest rates which weakened US Dollar making BTC edge higher to $24k mark. With more high-impact news expected from United States later today on unemployment rate, more volatility is expected during weekend in crypto market space.
Reaction From Crypto Analysts
Mathew Dixon CEO Evai notes that DXY is likely going retest what was once support and now overhead resistance aligning with his inverse expectation on BTC and Crypto moving down before final ‘blowoff’ high (not much higher imo). Meanwhile popular crypto analyst Rekt Capital believes that BTC will break macro downtrend either next month or April 2024 when Halving event takes place 425 days away from now .
Conclusion
Crypto markets are highly influenced by macroeconomic events such as changes in interest rates or unemployment status hence traders should be aware of how these events can affect prices even though we see bullish trends throughout 2021 so far analysts suggest being careful while trading because of volatile nature of cryptocurrency markets .