According to a report published yesterday by Bloomberg, the price of the main cryptocurrency by market capitalization could be losing steam.
The report states that long-term buying demand for the cryptocurrency is deteriorating, which will result in the drop of its price.
Bloomberg has made this prediction based on the information provided by the Bitcoin's Moving Average Convergence Divergence (MACD), which clearly shows that Bitcoin price has been falling since mid-February.
In addition, the average Bitcoin gain has also registered a significant fall since February till the beginning of March, which would indicate that the main crypto's rally might have come to an end.
Bitcoin has tried to pass the $4,000 mark in recent weeks, however, it has not succeeded so far. According to Bloomberg experts, the crypto will probably be under selling pressure till it manages to break that level.
Mati Greenspan, senior market analyst at eToro, said:
"Investors are seeing more potential in some of the smaller tokens at the moment."
If we take into consideration all this information, it could be stated that Bitcoin price could gain momentum if it manages to break the $4,000 level, however, if it fails to do so, it will likely fall into a bearish trend.
Subscribe to our Telegram channel to stay up to date on the latest crypto and blockchain news.