Azeez Mustapha is a specialist in Computer Studies (including DTP), Forex and Crypto trading professional. Being expert technical and currency analyst, as well as experienced fund manager and author of several books, Azeez places strong focus on crypto market studies conducting comprehensive price analyses and sharing forecasts of presumptive market trends.
Bitcoin price is below support levels of $8,340 and $8,200 versus the USD. The price is close to the $8,000 key support zone, where bulls could take a shot.
The next Bitcoin halving remains the predominant story of bulls hoping for huge price gains. The popular line of thought is that the price of Bitcoin could increase, as crypto enthusiasts warn of an increase that adds to the pressure on prices. However, its price may increase.
The expected halving testifies to this dream and its coming in the blockchain of the BTC in May, while several hodlers anticipate an increase in prices. On the flip side, the price may continue to drop to $8,000. Besides, if there is a push past the $8,000 support, bulls may tend to erase. The next zone to watch is the major support appearing close to the $7,650 level.
On the Northside, the initial barrier is near the $8,180 and $8,200 levels. Besides, a falling trend is forming in the near term with a resistance close to $8,165 on the hourly chart of the BTC/USD pair.
Willy Woo, a leading analyst for the cryptocurrency market, said the price of bitcoin may not rise again this time.
Woo analyzed that Bitcoin is strangely bearish before the next halving event that should take place in May. BTC’s price has gone from its annual high of $14,000 to just $8,100. He clarified further that this fall has sent many weaker miners out of the way.
There are only six months left before the block bonus is halved from 12.5 BTC to only 6.25 BTC, the miners are already about to capitulate. The miners who capitulate, for those who do not know it, are when the small miners find themselves stuck in a tight zone of the price when the BTC gets low and the generation of mining hardware that they use turns worked out.
The crucial factor shows such capitulation of miners activates Bitcoin sales in large quantities, driving prices down in a vicious circle. Undercapitalized miners panic, give in to deflation, collapse, stop cascading losses.
In the meantime, the price is hovering above the level of $8021.
BTC/USD Falls Past Key Technical Support Zone
Bitcoin has confirmed its breakthrough past previous day’s support zones after trading below its intraday level. BTC/USD price is trading near the key technical support on the level of $8021.00. The digital currency price went below the key technical support on the level at $8556.05 turned resistance in the prior day, which is likely to act as near resistance.
Today’s drop was almost entirely over the last few hours as $8021 is likely to be broken. It fell to the level at $8056 after the high-numbered auction earlier led to the current rebound high of the day on the level at $8197,82.
The market is showing short-term weakness in line with its long-term downtrend, with only the medium-term trend still bullish.