Bitcoin Movement Is Still Limited, Investors Must Know What Will Happen

Bitcoin illustration (photo: Pixabay)

JAKARTA - Bitcoin (BTC) price movements tend to be limited after previously experiencing a sharp decline below the level of US$50,000 (Rp797 million) on Monday, August 5, which was triggered by various economic and geopolitical factors.

According to Tokocrypto Trader, Fyqieh Fachrur, the combination of negative global sentiment, geopolitical tensions, and internal dynamics of the crypto market ultimately led to a significant drop in the prices of Bitcoin and Ethereum.

However, the price of Bitcoin has recovered above $56,000 over the past few days, extending recovery from a low of more than five months.

"However, the crypto market is also struggling with prospects for mass sales by the US government, as well as fading interest in the crypto derivative market," Fyqieh said in a statement.

Fyqieh also explained that concerns about the US recession and the potential volatility of the Yen trend are likely to impact the US BTC spot market current. The Bitcoin Spot ETF experienced a negative current for three days, leading to a net outflow from the spot's Bitcoin ETF of more than US$300 million.

"The continuous outflow from Bitcoin ETF and the selling pressure faced by BTC led to selling across the crypto market recently, resulting in the Bitcoin price dropping to a seven-month low below US$50,000," he said.

Technically, Fyqieh explained, the price of Bitcoin now has the potential to pass resistance at US$56,000 (Rp916 million) and towards the level of US$60,000 (Rp957 million). However, if there is a refusal at this resistance level, BTC could fall back to the range of US$54,000-55,000 (Rp861-877 million).

"Investors must remain vigilant amid trends in the outflow of BTC's ETF spot and sentiment towards the Bank of Japan and Fed interest rate lines. BTC could soar to US$60,000 (Rp957 million) in the coming days. Investors and institutions are injecting massive funds into the crypto market to buy when prices are falling," the Fyqieh analysis.