BTC Hovers Near $21K With Investors Avoiding Another Weekend Slump

BTC hovers near $21K with the investors avoiding another weekend slump and now analysts wonder whether the cryptocurrency will be able to remain at a higher threshold so let’s read more today in our Bitcoin latest news.

The biggest crypto by market cap was trading at $21,030 or up by 3% over the past day and this weekend could pose another test for BTC. Senior market analyst Craig Erlam said:

“This weekend could be another testing period for the cryptocurrency, despite the resilience shown this week in holding back above such a major level. The support still looks shaky below and another break could see confidence in the space really put to the test.”

BTC hovers near $21K and traded at $20,441 but over the weekend, the crypto crashed to $17,601 and faced strong selling pressure. Altcoins continued to outperform BTC with aXS and MATIC among the biggest gainers and increased by more than 16% and 13% respectively. Simon Peters, a market analyst at eToro, said that the increased risk of recession and the poor corporate earning scan affect stock prices which have correlated recently with crypto prices. The negative trends in the market can then be reflected in the crypto market as well:

“It’s too early to say if bitcoin has stabilized at the $20K level. Fear has somewhat died down in the crypto markets this week, but it hasn’t disappeared completely.”

The Traditional markets climbed alongside s&P500 and added 2.4% with NASDAQ rising 2.5% after their evasion in the consumer sentiment index that shows expectations for inflation lower than reproted. It was a small sign that the US economy could be cooling and the US central bank might have to raise the interest rates as dramatically as expected.

As recently reported, Bitcoin’s consolidation continues as the asset stalled above $21,000 and most other altcoins were also calm after the recent volatile ride with more biggest gainers coming from DOGE and Cardano. After the massive turbulence and the price declines that BTC experienced, the past week brought some recovery for the asset, and just last Sunday, it crashed to an 18-month low of $17,500. Monday started off well as the cryptocurrency bounced off and hit $20,000 but then failed to reclaim the level at first and did it a few days later.