Downtrend for Bitcoin is the main scenario: review of the week in the crypto market

Analysts of the KickEX exchange with an analysis of one of the historical weeks for BTC and forecasts for the development of the situation.

Bitcoin

The CEO of Galaxy Digital believes that the recovery of the digital asset market may take a long time and is highly dependent on the actions of the US Federal Reserve. There is also a high correlation between the US stock market and the cryptocurrency market, which tells us that changes in macroeconomic indicators directly affect the price of major cryptocurrencies. It is possible that while the US Federal Reserve will increase the base rate in the coming months, the cryptocurrency market will stagnate and slowly sink to the bottom to “sweet” prices for purchase.

At the moment, the downward trend for Bitcoin is the main scenario, and growth attempts can be regarded as a corrective movement.

If we look at historical data in more detail, we can notice that the correctional wave is on average more than 80% of ATH. We wouldn’t like to go into a dead dive for a long time, but we can consider two key zones: 1 - $20,000, 2 - $13,600 (Celsius has liquidation prices somewhere at these prices).

Despite all the negativity and a series of liquidations, we can assume the following scenarios for the development of the movement:

Scenario 1: breakout of the round level 20 $000 and possible further movement to $13,600

Scenario 2: holding $20,000 and a correctional wave to $24,000.

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