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Bitcoin is on edge and ready to drop to $41,000, says expert

Bitcoin is on edge and ready to drop to $41,000, expert says

Those who expected a rise in the price of Bitcoin (BTC) in the first days of the year are not very satisfied with the result of the value of the largest cryptocurrency on the market, which has been making maximums increasingly low.

So, if before Bitcoin struggled to keep its value above US$ 50 thousand, now the cryptocurrency can barely fix again the market of US$ 48 thousand.

So while bulls were able to raise the price of the cryptoactive before the end of 2021, they now seem to no longer have the strength to raise the price of the cryptocurrency.

So this lack of appetite has led analysts to predict a drop in the price of Bitcoin and a new support test at $41,000.

Therefore, according to analyst Ekta Mourya, the bull cycle may have come to an end as whale activity has also peaked.

Thus, she points out that whale activity caused a rise in the price of Bitcoin during the last days of 2021, but the cryptoactive suffered a drop from its local top in the first two days of 2022, and overall trading volume and on-line activity Bitcoin chain dropped into Coinbase.

Bitcoin

Along the same lines, Wharton professor Jeremy Siegel believes Bitcoin has stood out as an inflation hedge, replacing gold, but nevertheless, the price has been rising since 2020 and perhaps now is the time to back off a bit.

“Let's face it, I think Bitcoin as an inflation hedge in the minds of many of the younger investors has replaced gold. Digital coins are the new gold for millennials, but they can't go up for a lifetime,” he said.

Thus, also analyst Mark Cullen, highlighted that large investors, rather than seeking to increase the price of BTC, are trying to push the price of Bitcoin down.

Therefore, the analyst believes that the wall selling 3,600 Bitcoins on the FTX exchange implies that the Bitcoin price will likely stay at $45,000, but could easily drop to $41,000.

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