Bitcoin continues to fall amid depleted demand
Over the past 24 hours, bitcoin has lost another 2% and once again fell below $40,000, reaching its lowest point in two weeks. The key factor analysts believe the technical indicators, which reflect the current bearish trends. During the recent surges, the first cryptocurrency failed to consolidate above key exponential moving averages, indicating a lack of sufficient investor support.
The cryptocurrency market may also have reacted reflexively to geopolitical tensions and fluctuating macroeconomic indicators.
As there is now a heightened correlation between bitcoin and the stock market, traders expect further rate declines with temporary spikes and increased volatility. At the same time, the decline should be limited, as the weakening of the downward trend points to a return to the $30-40k range.
ICB Fund believes that BTC could close February in a slight surplus, but continue to fall in March.
