Bitcoin: The trend remains positive, but a correction could threaten


© Reuters

Investing.com – Bitcoin posted further gains yesterday, peaking at $32,400 yesterday afternoon, and remains broadly positive in the short term on Wednesday, despite a correction that took the cryptocurrency just below the $32,000 threshold.

Note that yesterday’s Bitcoin gains came as the stock exchanges retreated, confirming the questioning of the correlation between BTC and equities. Most of the European stock markets ended yesterday down more than 1% and the US indices were also in the red, although to a lesser extent.

This declining risk appetite casts doubt on Bitcoin’s ability to immediately continue higher from current lows, especially as technical factors also urge caution.

Indeed, the is facing an important resistance zone at around $32,000/$32,700. If a correction actually takes place, the first important support to watch will be the zone of the psychological threshold of $31,000.

Bitcoin is still in a bubble situation according to a DB survey

Regarding the latest information about Bitcoin, it should be noted that a survey of the Deutsche Bank (ETR:) released on Tuesday showed that the majority of investors still believe bitcoin is in “extreme bubble” territory.

The opinion of the investors surveyed is hardly more optimistic for the stock market index strongly correlated to cryptos. Indeed, despite the index having fallen more than 20% since the start of the year, technology stocks are still considered a bubble, the vast majority of respondents giving the Nasdaq a rating of 7 or less.



Source link -95