Over the last two weeks, the cryptocurrency market has been in a severe bear market. It’s the same with Bitcoin price as well. The flagship currency that was maintaining its price above $30k, has now plunged below that level.
While some crypto analysts believe its market dominance will gradually increase, others believe it will go below $20,000.
Despite the fact that the crypto market is in turmoil, bitcoin presently controls 46.51% of the market. Yet, it’s not the same for altcoins, as significant altcoins have been knocked out.
Here’s what a lot of market analysts are predicting about the future of Bitcoin. It’s all because there appears to be no help on the inflation front and the Federal Reserve is determined to raise interest rates.
Bitcoin Dominance Rise While Alts Find Bottom
The Bitcoin dominance index has risen from 0.4% to 44.7%, last seen in October 2021. Yet this scenario is not in favor of altcoin price action. One of the crypto on-chain analysts, Matthew Hyland forecasts that altcoins are in a death spiral.
He believes Bitcoin holders have a secure stance, but this is not the case with altcoin holders. Hence, as per the analyst, alts will find the bottom soon.
CPI, The Reason For Bitcoin Price Bottom
On the other hand, the Client Value Index (CPI) report led to a breakdown of the $30,000 support, and Bitcoin (BTC) value fell as low as $28,852.
The high CPI has affected the two financial markets, the dollar index (DXY) and the S&P 500 (SPX). This was discussed by il Capo of Crypto, who uploaded the following charts. He also says that “After CPI results, DXY continues its pump and SPX remains loose.”
If the value of BTC continues to fall, crypto trader Altcoin Sherpa believes buying and selling under $28,000 is possible.
CrediBULL Crypto, a market analyst and pseudonymous Twitter user, provided insight into what it could take to avoid a return to the support at $28,000. His claim was supported by a chart displaying the “unlucky” retrace from $30,000. According to the analyst, this is where we need to keep our focus.