The falling bitcoin (BTC) price just won’t stop. The downward momentum is strong and has already caused the price to fall in value by more than 17% since the beginning of the month. And compared to the current all time high (ATH) of BTC, the picture is of course even more dramatic. Where is a possible bottom?

Bitcoin price could drop to $28k

Through technical analysis, analysts and traders can estimate where the price may find support or resistance, as well as how far the price may rise or fall. Such levels are determined on the basis of historical price data and technical patterns, among other things. It is important to remember that such price levels and patterns certainly do not offer any guarantees.

The well-known trader Peter Brandt already said on May 1 that he expected that the bitcoin price could fall a lot further. At the time, bitcoin was trading at a price of $37,600 after slipping below a bullish trend channel. The technical target for a breakout on the downside of this pattern was at $28,000 at the time, according to Brandt.

Important support for bitcoin

The target that Brandt mentions corresponds to the support in the $28,000-29,000 area. The previous two times (in January and June 2021) that bitcoin arrived here, the price was able to rise to a new ATH twice. Other analysts also see this as a possible bottom, as stated in today’s bitcoin update. Of course, past performance is no guarantee for the future. Also, the global situation is very different now, with much more uncertainty among investors.

Ultimately, no one knows where the bottom will eventually form. Trader Nebraskangooner calls the current situation “tough times for knife catchers” and shares an important piece of advice:

“Knife catchers have difficult times. I always like to be a few percent late to a party instead of being early all the time. This is something I learned that saved me a lot of money.”

Learning about bitcoin trading

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