The crypto market looks pretty mixed today, with some important coins trading in the red, following Bitcoin new correction, which started the day before.
An important analyst said that Bitcoin’s bearish price action could trigger a drop in the price of some altcoins.
In a new strategy session on the crypto markets, Michaël van de Poppe said that he’s watching closely to see if BTC bulls can bring the top cryptocurrency back above $58,000.
“You can point towards the $58,000 high. If that can’t really break and become support again, I’m assuming we’re going to have a further downwards move,” he said as cited by the online publication the Daily Hodl.
In order to prevent a massive move to the downside, Van de Poppe says the price of Bitcoin needs to hold an important support level at the $55,100 mark.
If BTC drops below that number, the analyst says altcoins that recently experienced big rallies will be especially vulnerable.
“If $55,000 does not provide support, I think the overall momentum that we just saw on altcoins with Chiliz (CHZ), Enjin (ENJ), Theta (THETA) – all those coins are going to have a very painful correction,” he explained.
At the moment of writing this article, BTC is trading in the red, and the eking coin is priced at $55,973.14.
This can boost BTC price
Bitcoin has penetrated the mainstream media for a while now, and the momentum is still here. Now, Business Insider notes that Bitcoin managed to regain its composure during the past week in order to jump to a record high above $60k.
They also note that a lot of analysts pointed to a new wave of institutional interest as the driver for this surge.
It’s been revealed that Goldman Sachs restarted its crypto desk, and JPMorgan launched a crypto exposure product. Check out more details in our previous article.