As the price of bitcoin is below $ 100,000, experts have warned that time may not be right for new long trades.
Bitcoin (BTC) is still above $ 100,000, but a recession signs are visible, and analysts have warned that it can be very early for long positions. Despite a recent jump of bitcoin, after taking a dip at $ 91,229 on 3 February, up to $ 102,000, the relative power index has been consolidated.
Analysts of the Blockchain firm Matrixport wrote on 5 February, “Bitcoin has historically offered strong purchases when RSI fell by about 40%,” by analysts of the blockchain firm Matrixport on February 1. Research noteAs the press time, the RSI sits at 48%. Analysts have warned that the scars to trigger the normal market pattern for optimal entry points are still too much. Due to this uncertainty, matrixports suggest that investors should be patient and wait for the opportunity to buy better.
On February 4, the rise on 4 February came after a major decline due to concerns over President Donald Trump’s proposed Tariff Hike, which feared a trade war. However, Trump temporarily moved to stop the tariff, the price of bitcoin overturned.
Recovery was also fuel by a huge liquidation of speculative bets. The accident of February 3 was the biggest, worse than Terra and FTX, Crypto. On 3 February, the Crypto Bazaar faced a serious decline, with a leveraged crypto posts within 24 hours increased by more than $ 2.3 billion. One of the alternative estimates indicates $ 8 to 10 billion in crypto liquidity.
The market situation is still uncertain, analysts suggest that “more strategic approaches must use patience and wait for an optimal entry point.”
