Analyst Lyn Alden says that Bitcoin will reach its low point over $ 20,000

• Alden is optimistic that the flagship will remain over $ 20,000, even if the slump is tightened
• Bitcoin is traded on the green today and has released $ 37,000

The macroeconomics strategy Lyn Alden shared her view of Bitcoin, which, like other crypto-assets, has suffered significant losses in the recent onset. In the middle of the week Interview Together with David Lin from Kitco New less than $ 20,000 sinks.

Alden, who heads a stock and investment research company of the same name, confirmed his forecast and found that the market matured and Bitcoin is therefore not experiencing massive price fluctuations.

"I would be surprised to see a pressure under 20,000. However, I do not have it as an option […] Bitcoin had this 85 % break-in in the past, but I also had massive blow-off tops in the past. Most indicators showed that they did not achieve the same level of exhaustion in this cycle, so basically measuring it from a less extreme highlight of the market is mature in my opinion, so I would be a little surprised if I saw a circulation of 20,000. ” she watched.

Nevertheless, the chances are not zero

The founder of Lyn Alden Investment Strategy did not rule out the possibility of a decline under this level. She warned that the Bitcoin market could collapse if larger declining events around Bitcoin take place. In particular, she called the Federal Reserve measures as a catalyst for a downward trend.

"The environment that I can imagine getting there if I had put on my bear hat for a second would basically be that the Fed talks or at least about a tightening."

This week, the chairman of the US Federal Reserve, Jerome Powell, confirmed that the plans for an interest rate increase in March remain intact. The cryptocurrency market reacted to the news with the crash of many top assets.

In her opinion, Alden claims that a similar event could trigger a wide range of sales that will send the Bitcoin price down.

She also mentioned a freezing of the credit market as another event that could cause the OG crypto to lose profits and fall below $ 20,000. Apart from such major events, Alden is confident that Bitcoin will remain above this level.

"I think if you have a liquidity event if the loan markets freeze, if you have any major events like this, I could see a very illiquid Bitcoin tip.

The last time Bitcoin was traded in this zone was in December 2020. Towards the end of July last year, the Bitcoin Prize briefly crashed to a low of several months, but remained $ 29,000.

Bitcoin strives to $ 37,000 before the weekend

After a short decline to $ 35,655 at the end of yesterday's trading session, Bitcoin has recovered and is currently moving by $ 37,000.

Bitcoin 24-hour trading diagram. Image source: Coingecko

Although the leading crypto is still over 46 % below his November highest stand, he seems to have survived the storm during the week. The bulls will try to protect the level of $ 37,000, as this could be a springboard for an upward trend towards the weekend.