With a lot of volatility in the market, Bitcoin took a beating and its long term forecast looks grim. There is no indication that prices will trend upward anytime soon either. Buyers sold out and took what they could in profits while BTC prices were still below the $33,000 level. Unfortunately, BTC had support for a while and stayed steady at the $27,500 level before dropping to $25,000.
As of June 2nd, 2022 BTC prices rose briefly and continue to hold so far. This rally is a first in many weeks as the financial markets still struggle to regain lost ground. BTC seems oversold and it is likely that the price surge could reach $35,000. Prices will struggle to get beyond that. As things currently stand, BTC is a week shy of registering a signal that it is exhausted. The last time this happened was on January 10th, 2022. If more price breakdowns occur, it may touch $17,670 or thereabouts.
Since the start of market trouble, crypto markets have been mirroring stock market activity. Combined with adoption by the mainstream and price slumps that have shown up throughout out 2022, it is a given that it is very tied in with factors to do with macroeconomics. ETH has also been facing similar issues, thanks to market fluctuations. The crypto market is being influenced by the same factors that impact the regular market. These factors include inflation which is becoming higher, geopolitics and Fed interest rates.
It is a fact that BTC prices haven’t seen the $50,000 mark since Christmas 2021. Despite this, BTC managed to remain steady at $34,000 for a while. Its price has lost 40% of its value since then. It remains to be seen what the markets have in store over the next few months.
