BTC has continued to be impacted by broader market headwinds.
$DXY increasing reflects inverse correlation, while BTC continues to show increased correlation to $SPX & slightly less loose correlation to $NDX.
Flipping to 1-day chart gives a zone between $25.8k & $31.8k as area of contention between bulls & bears.
Loss of $28.5k with a daily candle close has potential to result in a cascade of selling pressure as institutions bought in heavily from $28k to $30k.
Historical $BTC Retracements from bull market tops has been ~85%... giving a price target of $10.5k from $69k ATH in November 2021.
With tightening monetary policies and the current inflationary challenges increasing, if the Fed stops QE, sub $10k price is not impossible.
Bitcoin has not existed in a hawkish Fed environment or faced inflationary pressures... only way this seems avoidable would be complete runaway inflation w/ prices surging across the board.
Will Bitcoin recover? YES... there will be quite a bit of volatility beforehand.
$DXY increasing reflects inverse correlation, while BTC continues to show increased correlation to $SPX & slightly less loose correlation to $NDX.
Flipping to 1-day chart gives a zone between $25.8k & $31.8k as area of contention between bulls & bears.
Loss of $28.5k with a daily candle close has potential to result in a cascade of selling pressure as institutions bought in heavily from $28k to $30k.
Historical $BTC Retracements from bull market tops has been ~85%... giving a price target of $10.5k from $69k ATH in November 2021.
With tightening monetary policies and the current inflationary challenges increasing, if the Fed stops QE, sub $10k price is not impossible.
Bitcoin has not existed in a hawkish Fed environment or faced inflationary pressures... only way this seems avoidable would be complete runaway inflation w/ prices surging across the board.
Will Bitcoin recover? YES... there will be quite a bit of volatility beforehand.
