Bitcoin falls back into the trading range that has persisted this year

 

 Bitcoin started and is still bad this year

Bitcoin has fallen back into the trading range that has persisted for much of the year.

The largest cryptocurrency by market value was down for the fourth day in a row to trade around $45,500 as of 10:03 a.m. in New York. It rose about 10% during March amid a month-end rally.

“It's just technical in nature,” said Matt Maley, chief market strategist at Miller Tabak + Co. “The breathing space Bitcoin is taking right now is normal and healthy after such a strong rally. Once you digest those gains, you should be able to bounce back even more.”

“Bitcoin bulls are really going to need a good fundamental reason for Bitcoin to break sharply higher,” said Nicholas Cawley, strategist at DailyFX. “At the moment, there is nothing on the horizon.”

Edul Patel, CEO and co-founder of digital asset trading platform Mudrex, also cited a plan backed Thursday by a European Parliament panel in which crypto transactions would be covered by EU rules that require financial transfers. carry identity information. payers and payees.

"While this does not prohibit interactions with non-hosted wallets like Metamask, it will create significant friction for users," Hughes said.

Market dynamics can also be an issue, according to JPMorgan Chase & Co., which sees stablecoins' share of cryptocurrencies' market value as an indicator of the potential for upswings or downturns. Assets are tokens that are typically pegged to traditional currencies like the dollar.

“Stablecoin’s share of the total crypto market capitalization no longer appears excessive, and as a result, we believe any additional upside to crypto markets from here would likely be more limited,” JPMorgan strategists led by JPMorgan wrote in a note. Nikolaos Panigirtzoglou. "This share is currently below 7%, bringing it back to its trend from 2020."