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Bitcoin Projected to Tank to $37K Amid Historical Support Retest

Published 03/01/2024, 06:17
Updated 03/01/2024, 06:45
© Reuters.  Bitcoin Projected to Tank to $37K Amid Historical Support Retest
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  • A crypto analyst argued that Bitcoin could soon be on a path to $37,000.
  • The view stemmed from Bitcoin’s recent closing on the $41K threshold.
  • After a similar retest in 2021 and 2022, Bitcoin dipped below the $40,000 mark.

Rekt Capital, a famous pseudonymous crypto trader and analyst, has released an analysis of Bitcoin’s next move following the historical trajectory of the firstborn cryptocurrency. The analysis spurs from the recent close-in of Bitcoin in December 2023, retesting a pivotal historical support range.

In particular, the analyst highlighted that Bitcoin retested the $41,000 mark, noting that the price of Bitcoin produced volatility around the threshold in previous times it entered the range. The periods were in 2021 and 2022.

Rekt Capital pointed out that following those retests, Bitcoin crashed below $40,000 to $37,354.28 and $37,492.21 in 2021 and 2022, respectively. As a result, the analyst argued that Bitcoin’s recent close toward the $41,000 support may push the prices to the $37,000 range.

Nonetheless, Rekt Capital characterized the potential significant dip to $37,000 as a healthy correction that could see Bitcoin to a new astronomic price range. For instance, in 2021, when Bitcoin declined to $37,354, it engineered a bullish trajectory that saw its price hit an all-time high in the $60,000 range. This trajectory is observable in the chart accompanying Rekt Capital’s tweet.

However, in 2022, when a similar retest occurred with Bitcoin hitting $37,492, the asset further experienced significant price declines. The dip resulted from the overall bearish market pattern during that time.

Despite this, the crypto market sentiment is fast changing into bullish, with Bitcoin halving expected in April this year. Besides, the crypto community anticipates the U.S. Securities and Exchange Commission (SEC) to approve an exchange-traded fund (ETF) that invests directly in Bitcoin this month.

The post Bitcoin Projected to Tank to $37K Amid Historical Support Retest appeared first on Coin Edition.

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