Bitcoin Still Trading Below The $30,000 Mark: Why Is This Happening?

A lot of investors are raising concerns on how long it’s taking for the largest cryptocurrency in the world to regain its former glory. 

Many thought that the nightmare was over when bitcoin started to move up at the beginning of the week, the coin traded for $31,000 in the late hours of Friday last week but currently trades well below the $30,000 mark.

Even after weeks of the steep plunge faced by the cryptocurrency market, the prices of crypto coins did not seem to move upwards by a big margin as they remained flat for days. 

On May 26, Thursday, the global cryptocurrency market also remained flat, but in red, as it was slightly down over the past 24 hours. The negative sentiment in the global crypto market mirrors that of the stock markets, which have been affected due to several reasons including inflation. The global cryptocurrency market fell down by 1.62 per cent over the last day, with its value standing at $1.25 trillion, as per data.

Bitcoin price today was standing at $29,675.87 at the time of writing this article, which was down by 0.26 per cent over the last 24 hours.

What Lies Ahead For The Pacesetting Coin?

“Bitcoin remained fairly neutral throughout the last day without any significant movement. The crypto market sentiment continued to remain in the “extreme fear” zone. The trading volumes on exchanges, however, have picked up in the last couple of weeks or so. On the hourly time-frame, the BTC trend continues to traverse within a triangle pattern. The next resistance for Bitcoin is expected at $40,000 and an immediate support is expected at $24,000,” said the WazirX trade desk.

“BTC continued to exhibit little volatility and moved sideways for the most part. It was priced at levels below $30,000,” said Darshan Bathija, CEO and co-founder of Vauld.

“The social sentiment is considered to be directly proportional to the price. A rise in social media content related to cryptocurrency generally leads to traders and investors rushing to buy cryptos which in turn leads to a jump in the prices,” added the WazirX trade desk.

Ether

Meanwhile, Ether price today, too, crashed to $1,923.06 while writing this article. This was down by 2.88 per cent over the last 24 hours.

“ETH was trading below the $2000 level. The ETH merge – the transition of Ethereum from POW to POS is likely to occur in August. The bullish sentiment about the price impact of the merger will likely be muted due to larger macro economic conditions,” said Bathija.