Bitcoin will peak in August 2021

Correction is delayed. The first cryptocurrency may fall to the level of $27,000, experts believe.

"Bitcoin failed to re-break the $40K threshold level, remaining within the correctional scenario. Nevertheless, the support level near $35K is not broken, and crypto market participants do not show panic moods," notes FxPro team of analysts.

Bitcoin may fall to lower levels if it does not consolidate above the psychological mark of $40,000, analysts at JPMorgan Bank believe. The key to understanding the situation may be an analysis of demand for bitcoin futures and shares of Grayscale Bitcoin Trust (GBTC), writes forklog.

"Daily inflows into GBTC would likely need to remain at $100 million over the coming days and weeks for this breakout to happen," the bank noted.

At the end of the fourth quarter of last year, investors invested $3.3 billion in Grayscale crypto trusts, a record influx of capital into the asset management giant's products.

Many Wall Street financial managers are having second thoughts about investing in bitcoin after it fell more than 25% last week, Bloomberg writes. Institutional investors bought more than 1 million VTCs in 2020 - 5.57% of the cryptocurrency's market supply.

According to analyst Alex Krueger, bitcoin is poised to target the $27,000 level if support around $30,000 fails. He believes altcoins will be "wiped out" by a correction if BTC drops to $27,000. As a rule, they have less liquidity and volume, and therefore respond more actively to fluctuations in trader sentiment.

Bitcoin has the potential to rise to $115,212 by August 1, 2021, according to analysts at crypto investment firm Pantera Capital. Historically, a rally after a halving to a bull market peak usually lasts 446 days. "If history repeats itself, bitcoin will peak in August 2021," experts believe.

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