Bitcoin Registers Quick Recovery Post Drop Under $30,000, BTC Price at Around $34K Now

UTC by Bhushan Akolkar · 3 min read
Bitcoin Registers Quick Recovery Post Drop Under $30,000, BTC Price at Around $34K Now
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From its low of $29,092 on Tuesday, the BTC price has recovered more than 10% moving past $34,000. However, analysts expected the bearish momentum to continue in the short term.

In a market-wide correction on Tuesday, June 22, the Bitcoin (BTC) price nose dived under $30,000 levels wiping off all its 2021 gains. However, the world’s largest cryptocurrency has recovered over 10% from Tuesday’s lows.

At press time, Bitcoin is trading at $34,074 levels with a market cap of $639 billion. Bitcoin (BTC) price has been under immense pressure over the last amid the Chinese crackdown. In a wild trading session on Tuesday, Bitcoin dropped under its crucial support levels of $30,000 on the technical charts.

Experts about Bitcoin (BTC) Price

The world’s largest crypto dropped to a low of $29,092 levels on Tuesday. In an interview with CNBC’s Squawk Box, Galaxy Digital CEO Mike Novogratz said that Bitcoin shall rebound from its lows. Precisely this has what happened as of now. Novogratz said that he isn’t quite perturbed with the recent price crash in BTC.

“Thirty-thousand, we’ll see if it holds on the day. We might plunge below it for a while and close above it. If it’s really breached, $25,000 is the next big level of support,” Novogratz said. “Listen, I’m less happy than I was at $60,000, but I’m not nervous.”

Bitcoin has been trading sideways ever since hitting its all-time high of $64,000 in April 2021. Besides, there’s been a considerable drop in the number of active addresses and the USD settlements happening on the Bitcoin blockchain network.

Historical charts show that strong pullbacks have been part of Bitcoin’s long-term journey to glory. After its 2017 bull run, the Bitcoin price retraced nearly 80% in consecutive years.

Bitcoin Investment Products See Major Outflows

Crypto investment products from CoinShares, Bitwise, and Grayscale have seen significant outflows for six consecutive weeks now. Amid this bearish sentiment, the crypto outflows totaled $89 million in the last six weeks. On the other hand, the outflows have surpassed $487 million over the last year.

Mike Novogratz is confident that despite this pullback the crypto market continues to mature. As a result, there’s rising institutional participation over the last year. Several pension funds, hedge funds, and banking institutions have jumped into the crypto game recently.

Currently, the Chinese crackdown on crypto miners has been the main driver of the bearish momentum. As a result, several crypto miners are feeling to more crypto-friendly western nations in the US and Europe. David Marcus, who is currently heading Facebook‘s Diem project said:

“How is more Bitcoin mining power moving to the and the West a bad thing? IMO China cracking down on mining is a great development for BTC.”

The short-term momentum looks bearish at this stage. Matt Maley, chief market strategist for Miller Tabak + Co told Bloomberg:

“Any meaningful break below $30,000 is going to make a lot of momentum players to throw in the towel. Therefore, even if Bitcoin is going to change the world over the long-term, it does not mean it cannot fall back into the teens over the short-term.”

More news about Bitcoin can be found here.

Bitcoin News, Cryptocurrency News, News
Bhushan Akolkar

Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.

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