While Bitcoin retreated to $92,000 levels due to strong selling pressure after approaching the psychological resistance of $100,000, experts state that the price will remain sideways for a while.
After the rapid rise it experienced in the past weeks, Bitcoin started to retreat before reaching the psychological resistance of $ 100,000. Market analysts draw attention to the strong selling pressure at this level.
Paul Howard of crypto trading firm Wincent said that with the current volatility, downside protection strategies are a logical choice for risk management. Howard made the following statement on the subject:
Bitcoin has moved well above its daily moving averages and is likely to trade sideways for a while as investors digest the sharp rally since Donald Trump’s election victory.
Howard, who said that there is a significant selling wall at $100,000 psychologically, also added, “I expect fluctuations at these levels until the new year. Staying neutral in the market and taking protection against declines is always a sensible risk-return strategy.”
Market watchers like Pentoshi believe that this pullback could pave the way for a short-term recovery. Bitcoin trading well above its daily moving averages suggests that the price will trend sideways for a while. Experts predict that the price could trade within a narrow range until the new year as investors digest the recent rapid rally.
