- Bitcoin and other cryptocurrencies traded relatively flat on Monday, finding equilibrium after the previous sale-off in the last trading session.
- Bitcoin’s price rose less than 1% in the last 24 hours, reaching $43,150, recovering from a dip to $42,250.
- “The specific drivers for the crypto market (such as bitcoin ETFs, etc.) have already happened, forcing investors to wait for the next signal,” said Kuptsikevich.
Bitcoin Price Holds Steady Above $43,000, but Investors Are Still Waiting: Could the Recovery Slow Down?
Bitcoin Price Is Slowly Recovering
Bitcoin and other cryptocurrencies traded relatively flat on Monday, finding equilibrium after the previous sale-off in the last trading session. The market, drawing in the launch of new spot Bitcoin exchange-traded funds (ETFs), has crypto traders awaiting the next significant catalyst, which could happen in April.
Bitcoin’s price rose less than 1% in the last 24 hours, reaching $43,150, recovering from a dip to $42,250. The largest cryptocurrency remains quite distant from its peak above $48,000 in January—around the time of the frenzy surrounding the launch of the first spot Bitcoin ETFs in the U.S. since the beginning of 2022.
FxPro analyst Alex Kuptsikevich said, “Bitcoin rebounded twice to $42,200. This solid support significantly weakened the attack of sellers and quickly brought the price back to the center of $43,000, where it has been since early December. This is also where the 50-day moving average currently resides, indicating that the market is still directionless.”
Bitcoin will likely continue to move in the same direction as other risk-sensitive assets, especially stocks, in the coming days and weeks, as long as investors focus on the outlook for inflation and interest rates. Economic data and central bank speakers could influence tokens this week, but traders are also focusing on the next major crypto catalyst as the hype around the long-awaited spot Bitcoin ETFs diminishes.
Investors Continue to Await Signals
“The specific drivers for the crypto market (such as bitcoin ETFs, etc.) have already happened, forcing investors to wait for the next signal,” said Kuptsikevich. This situation could persist until April. The focus is on the next Bitcoin “halving” period, which represents a change in the cryptocurrency’s programmed monetary policy and will exert pressure on supply.
Bitcoin has a strong history approaching each halving, meaning the next change, likely to occur in April, could push prices to high levels. Beyond Bitcoin, the second-largest cryptocurrency, Ether, rose 1% to $2,331. Smaller tokens or altcoins showed a more mixed performance, with Cardano falling 1% and Polygon rising 1%. Memecoins experienced a calmer trajectory, with Dogecoin and Shiba Inu both trading almost flat.
