According to another report by Cointelegraph, not everyone expects an immediate downside, with the possibility of a retest of $40,000 still possible for some.
Analysts are still positive, citing on-chain data although the price performance of cryptos is declining. Statistician Willy Woo said that Bitcoin is still in healthy territory.
“Price in relation to on-chain demand from both speculative and hodl category of investors are now both at peak oversold levels,” he told Twitter followers.
“The last time this happened was October 2020. The time before that was at the bottom of the COVID crash.”
Looking at derivatives markets, funding rates are negative as of this moment. Analyst William Clemente said that negative rates may not necessarily be shorters “piling into” the market hoping for further deterioration.
