Cryptocurrency analyst BitQuant commented on why market participants are not buying. Bitcoin and Ethereum Despite recent lows. This comes amid the current market downturn, with on-chain analytics platform CryptoQuant warning of a serious decline.
Why investors aren’t buying the dip in Bitcoin and Ethereum
in ×postBitQuant noted that no one except Saylor’s Strategy was buying Bitcoin for $65,000 due to reports that the US might attack Iran. If that happens, many believe, he added. BTC will fall That’s why they don’t buy. If BTC falls, Ethereum is expected to fall further.
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The analyst noted that these market participants have forgotten that Bitcoin fell from $90,000 to $60,000 without any news or headlines, and believe this nuance is unimportant. As such, he suggested that BTC and Ethereum could still see their prices fall, with or without them. America attacks Iran.
but, Show BitQuant The current price is not important in the long run as Bitcoin and possibly Ethereum can trade higher. he said many people still don’t understand it BTC is a system And they only see it as an asset. The analyst added that for many people, BTC is similar to a soccer match where they celebrate when there is a goal and leave the stadium when there is no goal.
Bitcoin, Ethereum, and the broader crypto market are currently facing downward pressure from uncertainty surrounding Iran, as well as a possible US attack on Iran. trump tariffs. Over the weekend, the US president announced plans to increase global tariffs from 10% to 15% after the Supreme Court ruled against tariffs under the International Emergency Economic Powers Act (IEEPA).
BTC could still fall below $40,000
a CryptoQuant analysis Recently, he suggested that Bitcoin remains below $40,000 and could fall to its long-term holder (LTH) cost basis of around $38,900. This analysis also refers to historical precedents, and each bear market It is characterized by the price of BTC being lower than the cost standard. This causes a final yield phase with realized losses of approximately 20%.
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The analysis also pointed out that it is only after this stage that the market can rebuild its necessary foundations. trend reversalBitcoin and Ethereum hit new highs. Meanwhile, another CryptoQuant analysis He said the Coinbase Premium Index is showing signs of limited recovery.
The index’s 30-minute simple moving average briefly rose above the zero level, but failed to maintain its momentum into the new week. CryptoQuant said that despite the temporary rally, the lack of sustained recovery in premiums is considered a potential trigger for the recent price decline.
Featured image from Pngtree, Chart from Tradingview.com
