The queen of cryptocurrencies could suffer new shocks when its halving takes place this Saturday, April 20, estimates Alexandre Baradez, financial analyst at IG France.
Weakened since this weekend, bitcoin is unable to recover. At 11 a.m. French time this Tuesday, April 16, the queen of cryptocurrencies is trading below $63,500, losing 4.5% in one day and 10% over a week.
The asset brought down the ten main cryptocurrencies on the market with its fall. Over one week, ether lost 15%, while other altcoins fell more severely: -21% for solana, -20% for dogecoin 20% and -19% for xrp.
Correction in progress
The fall of bitcoin, which weakens the entire ecosystem, takes place in a context of geopolitical tension, since Iran attacked Israel this Saturday, April 13. But this correction could continue as the fourth bitcoin halving takes place on Saturday April 20.
“There is normally no particular surprise effect when a theme is known very well in advance and the trend in bitcoin prices has already been very bullish for months. We could even consider that a There is a temporary risk of ‘selling the news’,” said Alexandre Baradez, head of market analysis at IG France.
“Sell the news” refers to the financial adage “buy the rumor, sell the news” (you must buy a stock at the time of the rumor and resell it when the information is confirmed). In this context, “a return to the zone between $50,000 and $60,000 seems possible,” he concludes.
Source: https://www.bfmtv.com/crypto/bitcoin/halving-du-bitcoin-un-retour-vers-les-50-000-dollars-reste-possible_AV-202404160521.html
