The price of Bitcoin (BTC) failed to overcome the support of 30,0000 USD on Monday, July 19, and continues its meteoric decline towards the barrier of 29,000 USD, a value that has not reached since December of last year.
Just this week, Bitcoin posted an 8% loss in value, joining the long list of downtrend currencies.
According to data from CoinMarketCap and Yahoo! Finance, the BTC / USD pair is still trading in the $ 20,000-$ 30,000 zone this Tuesday. As of this writing, one Bitcoin is trading at $ 29,643.45.
Following the downtrend
Indices of fear and greed plummeted to the bottom this Monday morning, dragging down not just Bitcoin, but most of the crypto market, including Ethereum (ETH), Litecoin (LTC) and Ripple (XRP).
This is consistent with the bearish technical pattern that different analysts have been warning after the Chinese government’s crackdown on Bitcoin mining in the country, where 50% of mining pools are located.
During the last 7 days, the giants LTC and XRP recorded losses of 10% in value, while currencies with smaller market capitalization, such as Ethereum Classic (ETC), EOS or Tezos (XTZ), went under with losses. alarming of more than 13% of its value.
How far will the price of Bitcoin go?
While financial firms such as JP Morgan at the beginning of the year projected BTC’s value to be close to $ 100,000 by the end of 2021, such predictions may have to wait for the mining sector to rearrange its operations.
Some analysts claim that the price of Bitcoin would likely bottom out before reaching $ 20,000, due in part to the institutional support that BTC and other cryptocurrencies have been receiving as part of the global finance ecosystem.
The downtrend can be the opportunity for investors to buy Bitcoins and other crypto assets at a relatively low price, and to recoup their investment in as little as a few months.
Alternatives to mining in are emerging outside of the Asian giant, so another bull market may be just around the corner.