Bitcoin (BTC) Price Prediction – May 14, 2021
Bitcoin fell sharply on May 12 and continued the following day.BTC price dropped to as low as $46,601 as bulls bought the dips immediately. The breakdown is not over as price tussle continues above the $48,000 support. There are indications of further downsides.
Resistance Levels: $65,000, $70,000, $75,000
Support Levels: $50,000, $45,000, $40,000
Since May 1, Bitcoin has been confined between $54,000 and $60,000 price levels. Buyers have made frantic efforts and retested the $60,000 overhead resistance thrice without breaking above it. The sharp drop was a result of buyers failing to push Bitcoin above the $58,000 resistance level. If buyers were successful above the $58,000 support, it will signal the resumption of upside momentum. Today, the bearish momentum is likely to continue as BTC price faces rejection at the $51,000 high. Presently, the BTC price is fluctuating above the $48,000 support after buyers fail to push Bitcoin above the $50,000 psychological price level. Bitcoin may decline to $45,000 low. Nevertheless, the bulls have an uphill task to push BTC price upward. Buyers will first reclaim the $50,000 psychological price level and push Bitcoin above $57,000 high. In the meantime, the price action is indicating candlesticks with long tails above the $46,000 support. This is an indication that there is strong buying pressure above the $46,000 support.
Bitcoin is long-lasting, says BlackRock’s Rick Rieder
BlackRock’s Rick Rieder is the chief investment officer at BlackRock Financial Management. The chief investment officer is unmoved by Elon Musk’s announcement on Wednesday that he is dropping Bitcoin as a means of payment. Telsa CEO Elon Musk has highlighted some challenges Bitcoin is likely to face. He said the crypto asset comes “at a great cost to the environment,” he said BTC wasn’t “a normal, stable asset” just yet. Following Musk’s remarks on the environmental impact of Bitcoin, Bitcoin fell below $50,000 for the first time in weeks.
However, Rick Rieder argued and made this statement: “I think it’s durable,” said Rieder, referring to Bitcoin. “I think it will be part of the investment arena for years to come, but some of these challenges and the volatility around it — regulatory dynamics, fiat currency concerns relative to crypto […] — are real. They will be overcome over time.”
Meanwhile, Bitcoin is fluctuating between $48,000 and $51,000 price levels. On the downside, if the bears have the upper hand and break the current support level, the market will decline to $45,000 low. Conversely, if buyers push BTC price above the $51,000 high, the bullish momentum will resume. On May 10 downtrend, a retraced candle body tested the 38.2%% Fibonacci retracement level. The retracement indicates that Bitcoin will fall to level 2.618 Fibonacci extension or the low of $45,281. 40.