Bitcoin price to bottom soon?Fundstrat: Breaking $40,000 is key

2022-05-04 0 By

Zhitong Financial APP has learned that a technical analyst at Fundstrat said bitcoin is likely to bottom out in the next few months.Bitcoin has stabilized recently after falling about 50 percent since hitting a record high in November.And according to the pricing model tracked by Fundstat’s Mark Newton, it’s “very likely” bitcoin will hit its nadir in the spring.However, Newton warns against going long on Bitcoin just yet.”These two weeks of modest rallies may not be enough to start to anticipate a new medium-term rally,” he said.Of the key technical levels to watch, bitcoin breaking $40,000 will be important for bulls, he added.If bitcoin falls below $35,511, it will test $32,950 further, around the intraday low set on January 24.Bitcoin has also fallen in recent weeks as global risk assets have plunged amid growing concerns about a hawkish Fed.Meanwhile, cryptocurrencies like Bitcoin and Ether have become increasingly correlated with assets like stocks as more traditional investors get involved.Bitcoin was down 4.64% at $36,750.0 as of press time.Finally, Newton noted that even though he expects bitcoin to bottom soon, he remains cautious.”Until a daily close above $40,000, bitcoin remains on a downward trend and further weakness is hard to rule out from a technical point of view,” he said.This article is from Zhitong Financial network