{"id":9072,"date":"2022-03-06T12:49:58","date_gmt":"2022-03-06T12:49:58","guid":{"rendered":"https:\/\/nftandcrypto-news.com\/crypto\/bitcoin-heading-to-36k-analysis-says-amid-warning-global-stocks-look-expensive\/"},"modified":"2022-03-06T12:50:00","modified_gmt":"2022-03-06T12:50:00","slug":"bitcoin-heading-to-36k-analysis-says-amid-warning-global-stocks-look-expensive","status":"publish","type":"post","link":"https:\/\/nftandcrypto-news.com\/crypto\/bitcoin-heading-to-36k-analysis-says-amid-warning-global-stocks-look-expensive\/","title":{"rendered":"Bitcoin heading to 36K, analysis says amid warning global stocks ‘look expensive’"},"content":{"rendered":"
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Bitcoin (BTC) headed lower into the weekly close on March 6 with geopolitical tensions and associated macro weakness firmly in focus.<\/p>\n

BTC\/USD 1-day candle chart (Bitstamp). Source: TradingView<\/em><\/figcaption><\/figure>\n

Could 2022 bring a “Greater Depression”?<\/h2>\n

Data from Cointelegraph Markets Pro and TradingView\u00a0showed BTC\/USD hitting its lowest levels in over a week Sunday after volatility returned overnight.<\/p>\n

The pair was in the process of testing $38,000 support at the time of writing, with three-day losses approaching 12%.<\/p>\n

Despite the “out of hours” trading environment, the trend was clearly down for the largest cryptocurrency, as the mood on global equities wobbled among analysts.<\/p>\n

“Global equities have lost $2.9tn in mkt cap this week as war could trigger major stagflationary shock,” markets commentator Holger Zschaepitz warned<\/a> on the day. <\/p>\n

“Economists cut their growth forecasts & raise inflation projections. Global stock mkts now worth $110tn, equal to 130% of global GDP, which looks expensive for current situation.”<\/p><\/blockquote>\n

Should a bigger TradFi correction set in, an already shaky crypto market could fare just as badly, some argue \u2014 at least to begin with.<\/p>\n

Popular trader and analyst Pentoshi even went as far as to forecast a repeat of the worldwide meltdown, which triggered the Great Depression 90 years ago.<\/p>\n

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The most exciting thing this year. Will be global markets collapsing. Any market that trades above 0 will be too high. They will call this. \u201cThe greater depression\u201d which will be 10x worse than the Great Depression. <\/p>\n

Goodnight https:\/\/t.co\/v1JUsy1eyA<\/a><\/p>\n

\u2014 Pentoshi (@Pentosh1) March 6, 2022<\/a><\/p><\/blockquote>\n

Some established pundits, however, held a decidedly different stance. In its latest crypto market outlook report on March 4, Bloomberg Intelligence remained bullish on Bitcoin and Ether (ETH).\u00a0<\/p>\n

“Most assets are subject to the ebbing tide in 2022, on the inevitable reversion of the highest inflation in four decades, but this year may mark another milestone for Bitcoin,” it read. <\/p>\n

“If risk assets don’t decline and reduce some of the price pressure, inflation measures are more likely to remain buoyant, leaving few options for central banks but to raise rates more aggressively.”<\/p><\/blockquote>\n

$36,000 support may step in for BTC<\/h2>\n

With trepidation still ruling the roost short term, the outlook for Bitcoin held few bullish cues, focusing on a continuation of the current trading range.\u00a0<\/p>\n

Related:\u00a0Bitcoin loses $40K as BTC price support levels give way to 1-week lows<\/em><\/strong><\/p>\n

“Bitcoin is at a critical level,”\u00a0Yann Allemann and Jan Happel, co-founders of on-chain analytics firm Glassnode, summarized<\/a> while introducing the latest edition of its “Uncharted” newsletter.\u00a0<\/p>\n

“RSI is oversold and trending up. If the price fails to break above $40k, we go down to support. Support: $34-$36k Resistance: $43-$45k.”<\/p><\/blockquote>\n

BTC\/USD chart with RSI. Source: Negentropic\/ Twitter<\/em><\/figcaption><\/figure>\n

The accompanying graphic showed just how historically good value BTC\/USD was at current prices and the correlation between such RSI lows and price reversals.<\/p>\n<\/div>\n