Bitcoin Price Prediction – Will the Market Stabilize or Continue to Fall Below $25,000?

by James · April 25, 2023

Bitcoin Price Prediction – Will the Market Stabilize or Continue to Fall Below ,000?

Bitcoin has experienced a significant drop in value in recent weeks, prompting many investors and analysts to speculate about the future of the cryptocurrency market. As the world’s largest digital currency, Bitcoin has a significant impact on the wider cryptocurrency market, and its movements are closely watched by traders and investors.

With the recent volatility in the market, the question on everyone’s mind is whether Bitcoin will stabilize or continue to plunge below the $25,000 level. In this article, we will explore the current state of the Bitcoin market and provide a price prediction for the near future.

Table of Contents

Uncertainty in US Crypto Regulation and Its Impact on Bitcoin (BTC)

After experiencing a significant sell-off over the weekend, cryptocurrency prices started the new week with losses. The reason behind this can be attributed to the increasing regulatory scrutiny that crypto-related businesses in the US are facing, combined with regulatory uncertainty.

This recent crackdown on cryptocurrencies by the US government has led to a sharp decline in the price of BTC/USD. Recently, the CEO of Coinbase, Brian Armstrong, hinted that the cryptocurrency exchange may move from the United States if there are no changes in the legal environment.

Armstrong expressed his frustration with the unclear regulation of the cryptocurrency sector in the United States, where different government agencies have different opinions on how to categorize and control digital assets. He mentioned that he prefers to do business in a country like the UK, where only one regulator has a uniform approach.

On April 24, Coinbase filed a lawsuit asking the US SEC to respond to their earlier request for regulations to clarify cryptocurrency restrictions. The digital currency exchange had submitted the petition and a comprehensive list of inquiries to the supervisory body in July last year.

According to Chamath Palihapitiya, a Bitcoin bull and billionaire tech investor, US politicians have effectively strangled the cryptocurrency industry to death.

US economic indicators weigh

On April 24, Monday, the Federal Reserve Bank of Dallas released the Dallas Fed Manufacturing Index report, which revealed that the index had fallen from -15.7 in March to -23.4 in April, below the analyst consensus of -14.6. The survey shows that assessments of the state of the economy have decreased significantly in April.

Meanwhile, investor sentiment regarding the Federal Reserve’s monetary policy shifted toward a more hawkish stance as economic data remained weak.

On Tuesday, the probability of a rate hike of 25 basis points in May rose to 84%, according to the CME FedWatch Tool. In addition, the probability of an increase in June also went up to 24.7%.

As a result of speculation regarding another interest rate hike, the dollar index (DXY) rose slightly, gaining 0.02% to 101.37. Overall, increased risk aversion and indicators of a weak US economy have led to a decline in BTC/USD prices.

Bitcoin price

Bitcoin is currently trading in the $27,200 to $27,823 range. Technical indicators such as RSI and MACD indicate a selling bias, but also a possible uptrend in Bitcoin’s price. If Bitcoin falls below $27,200, it could fall to the next level of support at $26,665, or even to $26,000 or $25,600.

If demand for Bitcoin increases, it may break through the $27,800 resistance level and reach $28,260 or $28,820.

Investors should keep an eye on this area to determine future price movements. Economic events such as CB Consumer Confidence and New Home Sales in the US can also have an impact on Bitcoin prices.

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Top 15 Cryptocurrencies to Watch in 2023

Traders seeking profit have begun to explore other cryptocurrencies as Bitcoin’s recovery may take some time. The market offers various promising options, including newer altcoins and presale tokens, which offer the potential for decent gains.

As a result have Crypto news The Industry Talk team has compiled a list of the top 15 cryptocurrencies for 2023, each with good prospects in both the short and long term.

The list is frequently updated with new altcoins and ICO projects.

^{Disclaimer: The Industry Talk section contains insights from crypto industry players and is not part of the editorial content of Cryptonews.com.}