- Bitcoin retreated below $8,000 as the recovery momentum faded away.
- Long-term investors expect growth above $10,000 by the time of halving.
Bitcoin (BTC) topped at $8,155 on Tuesday and resumed the sell-off to trade at $7,820 by press time. The first digital asset has lost 1.5% on a day-to-day basis, while its market share reduced to 64.2%. Notably, the coin has been moving within a short0term bearish trend amid expanding volatility.
Currently, only 56% of active Bitcoin accounts are in the money, which is only marginally higher from the recent low hit at 52.24 on March 9, when BTC price collapsed to $7,633. As BTC/USD is hovering below $8,000, many traders expect further decline.
Bitcoin’s failure to settle above critical resistance areas can be interpreted as a sign of long-term weakness that can result in an extended sell-off towards $7,200. This support is reinforced by SMA100 weekly. However, 4.4 million addresses have their breakeven point on the approach to $7,700, which means that this area may slow down the sell-off and serve as a trigger for a short-term recovery.
BTC/USD 1-hour chart
Bitcoin bulls never give up
While speculators are full of fear, the long-term players and hard-core Bitcoin “hodlers” stick to positive forecasts. Thus, according to Benjamin Blunts, Bitcoin has created a bottom at the current levels. Now it is ready to embark on a new upside trend with the first target at $10,000. However, the thinks that BTC/USD will spend a couple of weeks at current levels, as the market has entered an accumulation phase. Once it is over, BTC will resume growth and stage a convincing breakout by the time of halving.
Other prominent industry figures share this veiw. Thus, a cryptocurrency analyst and a creator of stock-to-flow model PlanB also believes that Bitcoin will stay above $10,000 as he head into halving.
Galaxy Digital CEO Mike Novogratz and Ari Paul, the CTO of BlockTowerCapital point out that excessive money printing by global central banks create perfect conditions for Bitcoin’s bullish trend. The expert noted that the entire U.S. Treasury went curve below one percent, which is the strongest bull case for Bitcoin that cannot be inflated by irresponsible monetary policy.