Crypto prices have largely declined this week as Bitcoin (BTC) lost more than 10% after flirting a few days with $30k. A technical correction, according to some analysts.
Indeed, Bitcoin fell below $28,000 on Friday evening, down 2.8% over 24 hours and over 10% over 7 days.
Despite the drop, many analysts remain optimistic about bitcoin’s long-term prospects. Some believe the currency could reach $100,000 in the coming years as more and more people become interested in the technology and its potential uses.
According to Will Tamplin, an analyst at Fairlead Strategies, Bitcoin experienced a “short-term loss of momentum” earlier this week, which gave way to a “correction phase.”
The only concern is whether the $30,000 rally was simply due to the Fed’s injection of liquidity after SVB failed, or whether it is the start of a new bull run for Bitcoin,” commented Matt Maley, chief strategist at Miller Tabak + Co, on Bloomberg.
Overall, while bitcoin’s recent drop below $30,000 is certainly significant, it’s important to keep in mind the broader context of the crypto market and the long-term potential of the technology.