The price of Bitcoin (BTC) has shown a decline in bullish interest recently due to several external factors including the Middle East crisis and trade wars.
Impact of External Factors on Bitcoin
Bitcoin trading activity remains under pressure from external economic conditions, including the Middle East crisis and trade conflicts initiated by the U.S. These factors negatively impact trader sentiment and overall market interest in cryptocurrencies.
Lack of Bullish Sentiment in the Market
Despite institutional investors like Strategy and Metaplanet continuing to accumulate Bitcoin, there is a noticeable decrease in demand for long positions. The total spot trading volume for Bitcoin, according to Glassnode, hovers around $7.7 billion, remaining significantly below past peaks.
Price Predictions for Bitcoin
Analyzing the current state, popular trader Aksel Kibar notes that Bitcoin's price is forming a potential head and shoulders pattern on the weekly chart. For bullish momentum to be confirmed, BTC must consistently close above $109k. Given the disappointing trade negotiations between the U.S. and other countries like Canada and Japan, a bearish trend is anticipated in the medium term, with potential declines to $92k before a possible recovery to $120k.
Thus, current conditions and global economic factors present significant obstacles to Bitcoin's price growth, indicating a challenging market situation in the upcoming months.
