As Bitcoin (CRYPTO: BTC) drifted lower Monday evening, four analysts and expert traders shared their thoughts on the largest cryptocurrency by market capitalization.
What Happened: Amsterdam-based popular cryptocurrency analyst Michaël van de Poppe said that Bitcoin is in the process of forming a bottom following its rejection at the $44,600 level. He believes Bitcoin will hold in the crucial zone between $36,000 and $40,513.
The process of a bottom takes time for #Bitcoin, as we can see.Rejection at $44.6K didn't change anything at all.
Green zone is crucial.
That should hold.
We might take liquidity at the lows to create a bullish divergence, but that should be it. pic.twitter.com/VX1dFkWwN3
— Michaël van de Poppe (@CryptoMichNL) January 17, 2022
Cryptocurrency analyst Justin Bennett said to his over 97,000 followers on Twitter that he expects Bitcoin to rebound 20% to 30% from the $40,000 region in the coming weeks.
$BTC is still holding above $42k support.I continue to expect a 20-30% bounce from the $40k region in the coming weeks.
But it's like I've said, carving out a bottom here is going to be a process. #Bitcoin pic.twitter.com/PywOvUruxE
— Justin Bennett (@JustinBennettFX) January 17, 2022
Bennett noted on his YouTube channel that every time Bitcoin has a liquidation candle, it drops about 4% to 8% below that low before touching a bottom.
Bitcoin’s current movement is playing out similarly. The apex cryptocurrency could rally to the $50,000 to $53,000 range after it gets the liquidation candle and the move below it, he said.
Cryptocurrency analyst Benjamin Cowen noted on his YouTube channel that the 20-week Simple Moving Average (SMA) for Bitcoin is $52,000, while the 21-week Exponential Moving Average (EMA) is $49,100.
The bull market support band for Bitcoin ranges approximately from $49,000 to $52,000, according to Cowen, who believes that the apex cryptocurrency is “generally leaning bearish” and is “neutral at best” for the first quarter.
Pseudonymous cryptocurrency analyst Altcoin Sherpa said on his YouTube channel that similar to the period between May and July last year, he believes Bitcoin is forming a bottom around the $39,000 to $40,000 area and investors will get other opportunities to buy the cryptocurrency at a slightly lower level.
Price Action: Bitcoin is down 1.8% during the past 24 hours, trading at $42,063.41 at press time.