Bitcoin’s price assessment is becoming increasingly complex since this market is divided among several macroeconomic factors. Nevertheless, the slight price rebound appears to be a halt against the bears as they attempt to build a bull bait. At $20,000, the barrier is not encouraging toward the bulls.
Bear Market Extends Recovery Phase
The bulls are stuck at the $21,900 level while the US stock market recovers from the Fed rate drop. In addition, the international markets are rising, and phases of recoveries are fueling slight price increases.
The global recession always arrives abruptly, and most market participants miss their chance to liquidate their cash and keep a few of their prior gains, resulting in an extended delay for a “recovery” that may or may not occur.
However, as per Glassnode, Bitcoin has begun a new journey towards the peak of its present negative market trend.
As per records, the typical market crash stretches roughly 400 days for Bitcoin and falls by about 80% throughout the decline. As we may recall, Bitcoin began the downward journey after recovering from its all-time high in November, making the pattern at least 227 days old.
Bitcoin Price To See A Further Drop?
Although the current selloff is still not over, this can be labeled “typical” because it has lasted more than 200 days. Compared to previous phases, we may anticipate a moderate retracement or stabilization in the following months or weeks.
Following a drop towards $3,800 in 2018, Bitcoin joined the stabilization area during the 360th day of the market correction. The consolidation enabled traders and organizations to begin collecting BTC, which is now the primary source of the price surge in 2019.
If the present financial rounds behave similarly to the 2018 pattern, we might witness a further drop and the subsequent recovery till October-November. This will be followed by a recovery bounce in 2023 when the Fed’s hawkishness decreases and the share market is no more under stress.
At the time of writing, Bitcoin was priced at $21,160 with no signs of increasing volatility.