Bitcoin price remained passive while the market sentiments lept on coiling ahead of the Bellatrix upgrade. Interestingly, as soon as the upgrade went live, BTC prices along with the major altcoins & ETH prices dropped heavily. Presently, Bitcoin is finding it extremely difficult to regain levels above $19000 as the strengthening DXY Index is causing a major hurdle.
Therefore, the bitcoin bulls have to wake up and keep the price of BTC in place, otherwise a new yearlong appears to be imminent!
The BTC price which is currently $50,000 below the November highs, appears to slash another 15% in the coming days, as the US Dollar is gaining immense strength. The DXY Index has climbed above $100 and despite immense bearish pressure, displays the possibility to form new highs every new day.
As seen in the above chart, the DXY Index has marked a 20-year high and is poised to move higher. Currently, the price is testing one of the key resistance areas between $110 and $111.5. If the index successfully crosses these levels, it could be a huge nightmare for the price of bitcoin and the crypto space as a whole.
Bitcoin (BTC) Price Yet to Reach the Bottoms
A popular analyst, il Capo of Crypto who constantly warned about the upcoming bearish trend of BTC price while the asset traded above $22,500, has now set the bottoms for the asset at around $16,000. As per the analyst, the price is mirroring a previous action which may drag the price close to or below $16,000.
However, the decline appears to be a trap and if the price closes the day trading between $18,900 or $19,000, it could be a good start for a further rally. Moreover, the rally could be validated once Bitcoin (BTC) price reclaims the $19,500 level. Until then, the asset may remain in bearish captivity, increasing the chances of new bottoms forming soon.
