How will the bitcoin market behave this week?

Last week, the cost of the main crypto coin reached $45,000, but then fell to $38,600. Some of the analysts believe that the key prerequisite for the growth of bitcoin to $45,000 was the increased interest in the asset against the backdrop of recent geopolitical events.

Given the significant devaluation of the Russian ruble, restrictions on foreign exchange transactions and the closure of the stock market, Russian investors decided to pay attention to the crypto market. However, the full-fledged growth of the digital currency market is still hampered by the global trend for correction, which began last year and has not yet ended, according to cryptanalysts.

According to Andrey Dyakonov, commercial director of Crypterium, funds are now being transferred from risky assets to traditional protective hedge instruments. The expert believes that we should expect double-digit inflation in Europe and the United States by the end of 2022.

“The markets are in a panic mode, and quotes around the world are declining. You need to understand that fundamentally the world is now in a new paradigm, the markets, accordingly, follow the world and try to predict something,” said Andrey Dyakonov.

BitRiver financial analyst Vladislav Antonov drew attention to the fact that the first crypto coin is now trading below $40,000, which is critical for buyers. Earlier, he expressed the opinion that if the past week closes below this level, then the risks of a decline in bitcoin to $34,000 will increase.

But trader Nicholas Merten believes that in the short term, BTC will start to grow again. The crypto enthusiast pointed to an indicator called “Mayer Multiplier. It indicates that the main cryptocurrency is in the oversold zone, from which a rebound may occur.

“When we are below the green line, this indicates oversold and a subsequent trend reversal,” the analyst noted.

What do you think will happen next with the cryptocurrency market and bitcoin in particular?