Bitcoin at $38K: An Opportunity or Trap?

Bitcoin is the first and most popular cryptocurrency that enables peer-to-peer exchanges as a digital payment solution. It uses a decentralized protocol to achieve global consensus. It can be transferred globally without the need for centralized authority. That is why it is known as decentralized payment. 

Top companies like Microsoft, Paypal, Starbucks, Home Depot, Twitch have global popularity and collaborated with decentralized partners to accept digital payment. In the future, more merchants and users will join this community to make it an asset like gold and silver. 

Bitcoin Price Analysis

BTC price predictionAt the time of writing this technical analysis, the price of Bitcoin is trading around $38532. After taking a long dip, it is starting to take a bullish momentum. Due to the global sell-off and crypto regulations in different countries, BTC came down almost 40% from its ATH. After making an ATH around $69K, it has been struggling to bounce back again. 

Is it a good buying opportunity? On the daily chart, RSI is strong at 40. The Bollinger band is coming down, but the candlesticks are forming around the baseline, which may suggest a trend reversal opportunity. However, we think, if it goes upward, it will face strong resistance of around $41K. 

BTC Price AnalysisThe weekly chart makes higher highs and higher lows, which shows a good opportunity for long-term investors. The previous low was around $32K, and this time, it has reached a low of $36. It means it might be able to register a new all-time high again. However, it may not always be the case. 

On the weekly chart, the MACD is bearish, and the RSI is stable at 41. Moreover, the Bollinger Band also shows bearish signals. Though the last few candlesticks are green, all the technical tools indicate bearish momentum. Click here to know more about Bitcoin price forecast which will help in knowing whether to invest or not? We think it is an excellent opportunity to invest in this coin. You should start investing now, but your view should be long-term. Do not invest in making a profit in the short term. 

In the crypto market, anything is possible, and it may break the support level and reach the level of $32K, which will bring you better investment opportunities. If you have stuck at the higher price, please hold the coin for a few more years; it will give you a better return. We always recommend investing in the crypto market with a long-term view and investing the amount you can neglect. Many analysts believe it is a golden opportunity for Bitcoin followers to increase their stacks.

David Cox

David is a finance graduate and crypto enthusiast. He projects his expertise in subjects like crypto and Blockchain while writing for CryptoNewsZ. Being from Finance background, he efficiently writes Price Analysis. Apart from writing, he actively nurtures hobbies like sports and movies.

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