Bitcoin’s price range has become significantly more subtle in recent months as it has gained popularity as a cryptocurrency. It is currently valued at $42,398.83 as of Sunday.
On Saturday, the BTC/USD exchange rate increased by 7.07%. Bitcoin ended the day at $42,414, up 3.54% from Wednesday’s low.
According to analysts, investors are in profit-taking mode this week, rapidly eroding daily gains and capping the market around the 45K level.
Bitcoin fell to an intraday low of $43,917.4 on Saturday morning before recovering. At the end of the day, a new high of $48,598 was set, surpassing the previous high of $43,284 set earlier in the day.
Despite concerns about the global economy and rising inflation, investors are drawn to the price movement of Bitcoin (BTC).
Quick Bitcoin Price Analysis
Bitcoin would need to avoid a break below the pivot level of $45,841 to trigger the first major resistance level at $48,765.
The crypto would require broad market support to break out of this new high of $48,945. Barring a sustained crypto rally, any upside is likely to be capped by the first major resistance level at $50,000.
If the pivot level at $46,841 is breached, the first major support level at $45,084 comes into play.
However, barring a prolonged crypto sell-off, Bitcoin should avoid falling below $45,000.
BTC/USD price at $42258 on the daily chart | Source: TradingView.com
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The world’s most popular crypto would require broad market support to break past the recent high of $48,945.
The first critical barrier level and resistance at $50,000 is likely to prevent further gains until crypto assets see a sustained rise.
In the event of a prolonged crypto rally, Bitcoin may test the second major resistance level at $51,522. If the pivot point at $46,841 is broken, the first significant support level at $45,084 will be tested.
On the other hand, unless there is a significant crypto sell-off, Bitcoin should avoid falling below $45,000. The $42,161 mark is the second significant level of support.
Although Bitcoin appears to be recovering, it is still a long way from its November all-time high of $68,000. Despite the recent price drop, Bitcoin is still more than double the value it was just a few years ago.
Meanwhile, despite the volatility and recent price drops, many analysts believe it will eventually break the $100,000 mark.
However, there are differing views on when and how this event would occur. When it comes to bitcoin, experts advise novice investors to be careful when deciding whether to invest a percentage of their assets in cryptocurrencies.
The price of Bitcoin has increased at a similar rate to other cryptocurrencies in recent years. How much the value of Bitcoin will increase over time is a legitimate concern for investors.
Related Reading | Bitcoin Stabilizes Above $45k, US Inflation Hits 7.5% Year Over Year
Featured image from TechCrunch, Chart from TradingView.com
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