Following a spike to $4,068 from the low $3,900 region, the bitcoin price has experienced a slight pullback to $4,000.
While the price of bitcoin slightly differs from region to region, on average, bitcoin is currently being traded at $4,017.
Against Tether (USDT) on Binance, bitcoin has dipped below the $4,000 mark to $3,975.
Following a 3 percent increase in the price of bitcoin, several traders expected the dominant cryptocurrency to undergo a minor pullback.
For over three months, bitcoin has remained in a relatively tight range between $3,700 to $4,000, breaking out of the $4,000 resistance on two occasions year-to-date.
As such, when bitcoin initially climbed beyond $4,000 and achieved $4,056, some traders foresaw the asset facing some resistance in the $4,000 region.
However, according to Satoshi, MBA, a cryptocurrency technical analyst, the 15-month correction of the cryptocurrency market is approaching its final phase and with bitcoin down about 80 percent from its all-time high, a gradual accumulation phase could be next.
The analyst said:
How can possibly not be bullish right when we’re at the bottom of this bear market. Accumulating as much BTC as I can here to be honest. When bitcoin approaches its new all time high again, I’ll be bearish.
As bitcoin experienced a minor drop in value, major crypto assets that recorded large gains in recent months such as Ethereum and Litecoin also demonstrated small losses in the range of 1 to 3 percent.
On March 16, a cryptocurrency trader known as Hsaka said that Litecoin is due for a retrace following a 170 percent rally since late December, within a three-month span.
Traders are keen on the near-term price movements of cryptocurrencies following an overall retrace on March 17 and whether digital assets can retain their momentum in the weeks to come.
Previously, when bitcoin was hovering at around $3,800, Satoshi, MBA told CCN.com in an interview that alternative cryptocurrencies demonstrated large gains in recent months, which may lift the overall sentiment of the cryptocurrency market.
“Most coins have very bullish set ups right now, virtually all of them sitting on annual support. When BTC moves sideways, liquidity will move into alts. Recently we’ve seen huge moves, 40%, 80%, even 150% overnight gains by some alternative cryptocurrencies,” the analyst told CCN.com.
Earlier this week, the Chicago Board Options Exchange (Cboe), one of the largest futures market operators in the global market, reportedly disclosed its intent to cancel bitcoin futures in the near-term.
Some investors grasped it as an indicator for a decline in institutional demand for bitcoin. But, one cryptocurrency researcher suggested that it is a Cboe-specific problem that Cboe has to examine and address in the future, not a general issue pertaining to bitcoin futures.
“In conclusion. Cboe clearly lost the battle of the bitcoin futures and needs to re examine things to be competitive. A failed , I’ll planned and rushed to market product is not the same as ‘hur dur institutional fail’,” the researcher said.
With the level of developer activity in the cryptocurrency market recovering, Blockchain Capital general partner Spencer Bogart noted that the legitimacy of the cryptocurrency industry has solidified.
“The development progress in this crypto bear market absolutely dwarfs the last one Last time, broad consensus was ‘crypto is going away’ (remember ‘blockchain not Bitcoin’? That was cute…) This time, everyone knows crypto is here to stay. The behind the scenes progress is [rising],” he said.
Last modified: March 4, 2021 3:20 PM