Bitcoin is currently valued at $29,000, but a pundit believes it may fall after losing “one crucial level”

This week has been a tumultuous journey for Bitcoin.

After reaching a ten-month high of $30,800 last week, the world’s foremost cryptocurrency by market capitalization has begun a downward trend, losing approximately 9 percent over the past week. As of press time, Bitcoin was trading at $29,225, a 2% decrease from the previous day’s price.

Ether experienced a similar decline, losing just over 10% in the past week to trade at $1,913 at press time. Other cryptocurrencies also declined, with XRP’s 11% decline pacing the top 10 coins by market capitalization.

Notably, Dogecoin fell significantly as well. At the time of publication, the most popular meme in the world had lost over 8% of its value in the previous twenty-four hours, despite posting gains on Thursday as billionaire Elon Musk’s SpaceX launched a test rocket that subsequently exploded.

Various experts have cautioned that Bitcoin, Ether, and other cryptocurrencies could fall further as the market closes the week with a downward trend.

According to Michael Michal van de Poppe, proprietor of the cryptocurrency trading firm Eight Global, Bitcoin “is currently showing weakness” and could fall to $26,200, where he sees the next level of support. In a tweet sent on Friday, the expert cautioned that Bitcoin has lost “one crucial level” in its recent decline.

“Bitcoin is demonstrating current vulnerability. Retreated from the range and dropped one of the crucial levels. The final significant level is $27,600. Could accept liquidity below, but requires a quick recovery. If not, and if there is no relief of $28,800, I believe we will see $26,200,” Michael said.

According to Cryptoquant’s crypto analyst “Crazyblockk,” Bitcoin risks falling even lower. In a post published today, the expert drew attention to Bitcoin’s UTXO Realised Price Age Distribution illustration, which depicts Bitcoin’s weekly to monthly age ranges.

UTXO is a collection of realized prices in addition to age categories. He noted that the price level of $28,3k was a valuable zone for the bands, characterizing it as “a psychological level for the realised price.” According to him, the level of $28,000 will determine the reaction of speculators in this price era and the need to secure short-term profits from the asset’s recent rally.

Also Read: Congressman McHenry proposes proceedings to Examine the crypto market structure