Not much has changed about the situation in the BTC lately. Over a week, the price of the leading cryptocurrency dropped by 4.7%; on Monday, the BTC is falling down to $39,000. On the one hand the quotes remain tightly bound to the US stock indices, Nasdaq in particular, and things are getting rather tough. The market is expecting an increase in the interest rate by 50 basis points at the Fed's meeting in May and is not happy about it at all.
On the other hand, international news is also stunning: the Chinese Shanghai has found itself in a severe quarantine due to yet another outbreak of Covid; the WHO warned people of a new strain of the virus that had already been noticed in several European countries. This is a risk for all the key exchanges. Few traders will be eager to buy when the circumstances are so strained.
This week, attention is focused on Chinese statistics (they have already been published, showing nothing remarkable) and the speeches of US and EU monetary politicians.
The tech picture of the BTC does not look favourable for buyers. For the bulls to get back into power, the price must rise above $42,300, and this now looks like a very unrealistic result. If the price manages to hit $41,200-$41,500, chances for growth will increase. For this scenario to work, stock market support is vital. Simultaneously, buyers are focused on reaching $37,000, so volatility and attacks on the price might increase.
