Bitcoin has faced constant difficulties over the past few months, as its recent attempts to recover fell short of expectations. Bitcoin, currently priced at $83,768, has faced resistance at $85,000 several times this month. This failure to break the resistance increases uncertainty among investors.
Bitcoin investors’ concern
The Bitcoin Fear and Greed Index reveals a prevalent sense of fear among Bitcoin holders. Since early March, this fear has increased as market conditions continue to unrespond to positive signals. With the price of Bitcoin stagnating and struggling to regain its bullish momentum, investor confidence continues to decline.
The current climate is reflected in general sentiment, as many investors refrain from making a major move in the market. This indicator also indicates that Bitcoin holders avoid riskier investments and refrain from participating in the market.
Bitcoin’s overall overall momentum also indicates hesitation among market participants. Active trading addresses on the Bitcoin network have reached their lowest level in almost two months, indicating a decrease in interaction.
This decline indicates a decline in the interest of cryptocurrency holders in making transactions or moving their coins. The lack of enthusiasm to participate in the network indicates investors’ uncertainty about the future direction of the market.
Can a Bitcoin price break through $85,000?
Bitcoin is currently experiencing a three-month downtrend, with the price hovering around $83,768. Despite several attempts to break through the $85,000 resistance level, it failed to maintain its bullish momentum. Repeated rejections at this level indicate significant resistance, which could lead to further price stagnation.
If the downward sentiment persists and investor concerns remain high, the price of Bitcoin could fall below the current support level of $82,619. It is likely to fall to $78,481, which will prolong the downtrend and deepen losses for crypto holders.
Bitcoin faces strong resistance amid declining sentiment
The price of Bitcoin has been suffering from a continuous downtrend for three months, currently at 83,768 USD, and is facing significant resistance at the level of 85,000 USD.
Indicators point to growing investor concerns, with active bitcoin addresses reaching a two-month low, suggesting a broader market downturn.
If Bitcoin fails to break through the $85,000 level, it could fall to $78,481, while a successful breakout could push it towards $89,800.
Bitcoin struggles at $83,768 amid growing investor concerns and a decline in market engagement, with critical resistance at $85,000 weighing on traders’ sentiment.
BTC market trend remains bearish
The current situation surrounding the BTC markets reveals a difficult scenario for investors. With the cryptocurrency stabilizing at $83,768, repeated resistance at $85,000 has left traders in a state of instability. This resistance level represents a psychological barrier, reflecting broader market sentiment that has not yet shown uptrends.
Investor caution reflected in key metrics
Bitcoin’s Fear and Greed Index has shown a clear trend towards fear recently. As market participants become increasingly risk-averse, many choose to hold the currency rather than trade. This cautious approach is reflected in the number of active addresses on the BTC network, which has fallen to levels not seen in two months. This decline indicates a decline in transaction activity, reinforcing the idea that investors are concerned about the possibility of further declines.
Poor engagement is manifested in low active titles, indicating a reluctance among coin holders to actively participate in uncertain market conditions. As sentiment shifts towards a more cautious outlook, the implications for Bitcoin’s near future become clearer.
Bitcoin ETFs enter a new phase
It’s a brave new world for bitcoin-focused exchange-traded funds (ETFs), with a wave of new products focused on income and outcomes rather than just exposure to digital assets or similar industries. Grayscale, one of the largest companies in the industry, earlier this month launched two such products – a Bitcoin ETF with a covered call option and a premium income fund traded with a preferred income option. Launched Calamos this month introduced another series of “protected” Bitcoin ETFs that resemble temporary funds, following the launch of similar products in January.
Roxana Islam, head of sector and industry research at TMX VettaFi, said investors and asset managers “love Bitcoin, and they want to know what it can offer.” The new issuance of crypto ETFs “lends greater legitimacy to Bitcoin and strengthens its presence in the financial world.”
Bitcoin ETF 3.0
Many years have passed since the emergence of Bitcoin funds in the United States, with the first of these funds focusing on Bitcoin futures contracts or associated companies. The past year has seen a radical transformation, as the U.S. Securities and Exchange Commission approved the first BTCETFs at the spot price. Obviously, direct exposure products are in high demand – and the largest of these funds, the iShares BTC Trust ETF., about $48 billion in assets. Has been considered the fastest growing ETF ever.
Calamos strategies, which represent most of the protected category, come in three types: one with 100% loss protection and a maximum rise of about 11%. Another with 90% downside protection and a maximum of about 29%. And a third with a limit of 80% and a ceiling of approximately 52%. The results periods of the three funds added by the company in January and April are about one year.
