As the turmoil in the virtual currency market caused by the collapse of the virtual currency trading platform FTX begins to subside, the price of bitcoin (BTC) has begun to flatten out, but there is still hope for a long-term recovery. semester.
In fact, Bitcoin has been moving in a downward wedge since the June lows and should break through the daily MA200 (moving average) which should enter the downward wedge by the first week of January.
Meanwhile, there is light at the end of the tunnel in the form of the U.S. Dollar Index (DXY), which has fallen significantly since September 26, “(…) . they are negatively correlated, but bitcoin is the FTX’s .”
The expert added that once the cryptocurrency market overcomes the FUD (“fear, uncertainty, and doubt”) caused by the decline in the value of the dollar, it will “begin to rise aggressively to regain lost ground on the upside.”
Meanwhile, Mike McGlone, commodities strategist at Bloomberg Intelligence, predicted that bitcoin could resume its ascent in a “warmer period” and outperform financial markets again, as Finbold previously reported.
Optimistic predictions are being made with the first virtual currency showing positive 180-day futures yields in the fourth quarter of 2022 and outperforming historical performance in all data sets since inception.
Bitcoin Price Analysis
According to data obtained by Finbold in December, bitcoin was trading at $16, 885 at the time of this article’s publication, up just 0.47% on the day, with a weekly loss of 5.27%, and up 5.05% on the monthly chart. 21.
With a market capitalization of $324.87 billion, Bitcoin remains the largest crypto asset by this measure and, along with runner-up Ethereum (ETH), continues to boost crypto market capitalization, as recently discovered.