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Bitcoin slump marks the beginning of ‘buy the dip’ week for BTC

Bitcoin slump marks the beginning of ‘buy the dip’ week for BTC

With the cryptocurrency market entering the week on a slightly bearish note that followed its rally since the year’s turn, the consolidation of Bitcoin (BTC) represents an opportunity for investors to “buy the dip,” as observed by cryptocurrency analyst Michaël van de Poppe.

Indeed, Bitcoin started the week by dropping “towards range low and that support area at $22.3-22.7K,” which “could be a spot for longs,” but that “most optimal is a sweep of $21.7K,” as the crypto expert explained in his Twitter post on February 6.

According to Van de Poppe, such an “ultimate liquidity sweep,” as he referred to it in an earlier tweet, could be possible with the current strength of the USD index, which, in his words, indicates that this is the beginning of a “buy the dip week.”

Analysis of DXY movements. Source: Michaël van de Poppe

It is also worth noting that ‘buying the dip’ has given a significant advantage to the enterprise business intelligence (BI) software vendor MicroStrategy (NASDAQ: MSTR), which had purchased over 8,800 Bitcoin during the massive crypto plunge of 2022, while its stock more than doubled over the past month.

Bitcoin price analysis

Meanwhile, the maiden decentralized finance (DeFi) asset is currently changing hands at the price of $22,853, recording a 2.28% decline on the day, as well as dropping 3.97% over the previous week, but still a 34.74% gain on its monthly chart.

Bitcoin 7-day price chart. Source: Finbold

At the same time, a survey of 4,400 United States adults carried out in January 2023 has projected a gloomy future for Bitcoin, predicting that the asset would likely trade at $15,252 in the next sixth months, as Finbold reported on February 3.

On the other hand, the author of the personal finance bookRich Dad Poor Dad,” Robert Kiyosaki, has ranked Bitcoin among the three ‘hottest subjects on earth’ due to the deteriorating value of the U.S. dollar, while Berkshire Hathaway (NYSE: BRK.A) Vice Chairman Charlie Munger wants the maiden crypto to be banned.

Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk. 

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