20.04.202108:11 Forex Analysis & Reviews: Bitcoin's resurrection is still being postponed: the institutions did not pick up all the sold coins

It has already been almost two full days since the fall in BTC quotes on Sunday, and they are still declining. Albeit not too much, they are falling and trying to return to the support level of $50,770, which was worked out as part of the collapse last Sunday. Thus, in the coming days, it is possible to expect the number one cryptocurrency in the world to return to this level. As we have said many times before, a lot for bitcoin will now depend on whether institutional investors want to "pick up" all the bitcoin coins that are being sold. And do they sell the cryptocurrency themselves? The answers to these questions will determine the fate of bitcoin for the coming months, and maybe even years. Keep in mind that all forecasts from the category of "$100,000 per coin" are good and it is quite possible that bitcoin will cost exactly that much one day. However, this does not mean that bitcoin will not fall in value or frankly collapse from time to time. If the institutions get rid of bitcoin themselves instead of buying all the sold coins, the collapse of the cost of 70-80% can not be avoided. In principle, nothing extraordinary has happened for bitcoin so far.

The total correction is currently $15,000. The two previous rounds of correction were from 10 to 14 thousand dollars, but then bitcoin was cheaper. To be more precise, for all the last three corrections, bitcoin lost about 20% of its value, after which the upward trend resumed. Accordingly, the level of $50,770 is now important, below which the correction will be more than 20% and, therefore, it will be possible to talk about a more serious fall in the "digital gold." It should also be noted that the level of $50,770 is the previous local low. And according to technical analysis, the probability of a further drop in quotes will increase greatly if the price manages to overcome the previous low. At this point, a new trend (a downward trend) just begins to emerge, and it becomes much more difficult for the bulls to return the instrument to the upward trend. Thus, we are watching the level of $50,770. It should be highlighted that the upward momentum is weakening, and this can be seen in the illustration below. No trend can last forever, and bitcoin has already been growing in price for a very long time.

In technical terms, bitcoin is fixed below the critical line, as well as below the ascending channel. Thus, according to all the canons of technical analysis and the Ichimoku indicator, a downward correction should now follow. However, we should also pay attention to one important fact: yesterday, BTC quotes fell exactly to the previous local low near the level of $50,770, and bounced off it. Thus, further downward movement is impossible without overcoming this level. Below, traders are waiting for the support of $43,850, but some analysts also consider the support level of $37,500 as a target for a possible fall in bitcoin.