Why This Economist Expects Bitcoin to Range Before Seeing a Breakout to $50k

Bitcoin

Bitcoin and the entire crypto market are seeing yet another influx of selling pressure, with yesterday afternoon’s rebound not being enough to fully invalidate the weakness that has been incurred as of late.

The cryptocurrency is now struggling to hold above $33,000, with it finding some slight support here as it navigates down towards $30,000.

This has created major headwinds for the aggregated market and may continue slowing its ascent in the days and weeks to come.

One economist is now forecasting some range-bound trading for BTC around its current price levels. He expects this to come about before the crypto can rally to $50,000.

Bitcoin Breaks Down as Bulls Fail to Gain Ground

At the time of writing, Bitcoin is trading down just under 6% at its current price of $33,500. This is around where it has been trading throughout the past day.

The selling pressure seen in the mid-to-upper $30,000 region has proven to be quite intense and may continue hampering its growth for days to come.

This may also place continued pressure on the aggregated market, as altcoins are all facing intense weakness at the present moment.

Economist: BTC Likely to Range Before Seeing Breakout Rally to $50,000

One popular crypto-focused economist explained in a recent tweet that he expects Bitcoin to see range-bound trading between $30,000 and $40,000 until volumes decline further.

He expects that this will be followed by a breakout rally to $50,000.

“My BTC short-term view after long deliberation and some flip flopping is rangebound in 30K-40K until the curve and vols come off a further. Then, 50K. I wouldn’t be surprised if 30K is briefly breached but the risk is to the upside. Those calling for 20K missing the big picture.”

This could mean that the recent price action is healthy and marks the end of a short-term parabolic advance rather than the end of its uptrend.

Featured image from Unsplash.
Price data from TradingView.
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