BTC fell about 5% in days as tariffs and geopolitics drove downside risk.
Summary
- BTC is in a sharp correction similar to equities, with renewed tariff uncertainty and geopolitical tensions cited as primary downside catalysts in the short term.
- Kraken VP Matt Howells-Barby flags ~$60k as critical support and warns a breakdown could open a path toward the mid-to-low $50k range.
- Historically, BTC has not bottomed until the 50-week MA drops below the 100-week MA in a death cross, implying potential further downside before a durable floor forms.
Matt Howells-Barby, Vice President of cryptocurrency exchange Kraken, identified critical price levels for Bitcoin as the digital asset undergoes a correction, according to statements from the executive.
Howells-Barby stated that Bitcoin is experiencing a sharp correction similar to movements in equity markets, with uncertainty surrounding tariffs cited as one of the primary factors driving the decline. The executive drew comparisons to macroeconomic pressure observed in April of the previous year, noting that geopolitical tensions could present additional downside risks in the short term.
The Kraken executive pointed to a critical support level as a technically significant threshold. According to Howells-Barby, a break below this support could push Bitcoin prices down to the lower-to-mid range.
Howells-Barby referenced historical data indicating that Bitcoin typically does not establish a clear bottom until the 50-week moving average falls below the 100-week moving average, a technical pattern known as a “death cross.” The absence of such a cross suggests the possibility of further declines extending below the lower range, according to the analysis.
Market analysts indicate that volatility may remain elevated in the current environment, with investors advised to focus on risk management strategies.
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Author: Andrew Folkler
