Key Factors Influencing Bitcoin’s Next Move
Bitcoin’s recent price action has been marked by indecision, with the cryptocurrency trading sideways. Crypto analyst Eric Krown Crypto has identified key factors that will determine Bitcoin’s next move.
Potential Correction
Krown’s analysis using the Stochastic indicator suggests that Bitcoin is due for a correction. He believes a drop to the $30,000 range is likely, with a worst-case scenario of $28,000.
Bullish Signals
However, Krown also notes that the 5-day HPDR bands indicate a median price of around $44,500. This suggests that Bitcoin could still move to $45,000 or even $50,000 in the short term.
Historical Trends
Krown points to historical data that suggests Bitcoin tends to have a red month after three consecutive green months. Since Bitcoin has ended every month in the green since September, February could potentially be a red month.
Defying Expectations
Despite historical trends, Bitcoin has been known to defy expectations. February is typically a bullish month for Bitcoin, with only two instances of a red close in the past.
Current Market Situation
At the time of writing, Bitcoin is trading above $43,000, showing a slight increase in the last 24 hours.
Conclusion
The direction of Bitcoin’s next move remains uncertain, with both bullish and bearish factors at play. Whether Bitcoin will reach $45,000 or drop to $30,000 depends on how these factors unfold in the coming days and weeks.
