The first quarter of 2022 saw the end of Bitcoin. Price did not go as expected for the bulls, as Bitcoin ended the last three months practically exactly where it began. Since dropping the mark in the opening week of the year, it has failed to retest $50k.
Remember that a prior research predicted that the apex coin will have severe negative activity throughout the first quarter. Although it has recovered, the market’s impact from the successive retracements has been irrevocable.
On January 20, for example, about $1 billion in long positions were REKT after BTC fell below $35,000. We may conclude that the bears had it easy, as a little more than $300 million in short positions were liquidated on March 27 when the rebound began.
The data above represent the largest REKT funds in 24 hours during the last 90 days. The entire amount of capital lost throughout the time is believed to be more than $7 billion. Aside from derivatives, a prior month’s forecast included other predictions that came true.
It indicated that given that the third month of the year did not experience a big upsurge, we may expect a 2% -10% growth. BTC has increased by more than 5% in the previous 30 days.
The research concluded by stating that a test of the $50k resistance level is improbable since the largest cryptocurrency may see severe negative movements near $48k. Bitcoin fell to a low of $32,950 and climbed to a high of $48,234.
Evidently, the peak coin did not pass the $50k retest. Will it happen this month, and how will April’s price movements effect the second quarter? Let’s take a look at what the fourth month of the year has in store.
The next 30 days are encouraging, with multiple signs indicating more price hikes. A closer look at the chart reveals multiple optimistic indications that might indicate the market’s negative grip is loosening.
On the weekly chart, for example, the Moving Average Convergence Divergence (MACD) shows a positive divergence. This is fantastic news because a bearish interception was observed in November, and the market was subjected to many corrections as a result.
Bitcoin has seen eleven Aprils since its initial public offering. Only three of these months were negative, as the top coin failed to climb. However, the greatest loss occurred in 2015, when it fell by 9%.
The largest percentage increase in BTC throughout this time span is 261 percent. Every April, the largest cryptocurrency climbs more than 27 percent on average – the greatest gain of the year. Because of the significant demand concentration throughout this era, the gap between the largest gains and the lowest losses is narrow.
The fear and greed index, which is now at 50 (neutral), has remained above 47 since March 26. It reached a high of 60 degrees Fahrenheit and a low of 21 degrees Fahrenheit. The current situation of the market has no doubt delighted the bulls and has put them in a good mood for the next 30 days.
We learned last month that Mexico is contemplating making bitcoin official money. If this occurs, the price will rise, as will the fear and greed index.