Bitfinex analysts expect Bitcoin to fall even further
“We expect a further significant market correction with critical support levels for Bitcoin at $38,000 and $36,000,” experts write.
In their opinion, such levels are key to assessing the short-term stability of the Bitcoin market.
The company said that at the end of last week there was a significant decrease in unrealized profits, especially among short-term holders. This trend could contribute to a potential increase in selling pressure, especially among recent buyers.
“The tendency of such market participants to overreact to short-term fluctuations in exchange rates could increase sales, and we anticipate the possibility of further significant market correction,” the report said.
Experts added that the financial market is now in a “more complex, more liquid and perhaps more mature” state. Even though Grayscale's new ETF has seen outflows, the company maintains a significant presence in the market, analysts said.
Let us recall that after the launch of spot exchange-traded funds, Bitcoin did not reach new historical highs, and two weeks after the approval of the ETF, it completely lost more than 20% in price.
In one day, January 17, miners sold a record 10,233 BTC (approximately $450 million). The trend indicates a shift among miners from accumulation to sales, which usually occurs during periods of rising cryptocurrency prices.