BTC experienced a challenging week with its price falling below $40,000 for the first time since December. On January 23, Bitcoin dropped to approximately $38,680. However, it showed a slight recovery, reaching $42,000 by Monday, January 29.
Despite this recovery, Matrixport analysts remain confident in their prediction that Bitcoin may still decline to the support level of $36,739. They attribute this potential drop to a decrease in interest in spot Bitcoin ETFs among traditional investors.
It is worth noting that Matrixport’s previous forecast regarding the approval of spot Bitcoin ETFs in the US was inaccurate. They had previously stated that the price of Bitcoin would skyrocket with the emergence of new exchange-traded funds. However, the subsequent launch of the Bitcoin ETF did not have the expected impact on Bitcoin’s price.
Nevertheless, Matrixport analysts remain optimistic in the long-term, with their December forecast suggesting that Bitcoin’s price could reach an impressive $125,000 by the end of 2024, driven by the cryptocurrency’s halving event.