Bitcoin Price Prediction: Bearish Sentiment Indicates BTC Struggling To Stay Above $38,000 

Daily Bitcoin BTC Technical Analysis

Last Updated March 8th 2022
5 Min Read
  • The Bitcoin price is only marginally up during the ongoing session, as sellers look to drive BTC below $38,000. 
  • BTC has been extremely bearish during recent sessions and had dropped to $38,029 on Monday. 

The Bitcoin price is struggling to stay above $38,000 as sellers drive the price down. BTC had hit an intraday high of $38,944 but is currently at $38,112. On Friday, BTC had registered a sharp drop, falling below the 20 and 50-day SMAs and settling at $39,183. Despite the bearish sentiment, BTC registered a marginal recovery on Saturday before dropping back on Sunday, falling by nearly 3% and settling at $38,417. The price continued to drop on Monday, dropping by just over 1% after a highly volatile session before recovering during the ongoing session. 

Bitcoin Price Chart Indicates Buyers And Sellers Struggling To Control Session 

The Bitcoin price started the previous weekend on a fairly positive note, rising by 2.51% and moving to $39,234. However, the price fell back over the weekend, registering a marginal drop on Saturday and then falling by nearly 4% on Sunday, settling at $37,741. BTC surged on Monday, as the price rose over 14%, pushing above the 20 and 50-day SMAs to $43,171, and then rising by 3.01% on Tuesday and moving to $44,469. Despite the overwhelmingly bullish sentiment, BTC fell back on Wednesday, dropping by 1.28% and settling at $43,898.

BTC/USD daily chart 030822

BTC/USD daily chart. Source: TradingView

The Bitcoin price continued to drop on Thursday, as it fell by 3.25% and settled at $42,471. Friday saw BTC remain in the red, as the price dropped below the 20 and 50-day SMAs, slipping below the $40,000 level and dropping to $39,183. Despite the bearish sentiment, BTC registered a marginal recovery on Saturday before dropping back on Sunday, falling by 2.58% and settling at $38,417. Monday saw BTC remain in the red after a highly volatile session, dropping to $38,029 before recovering during the ongoing session.

We can see that the MACD has flipped to bearish, indicating that we could see the price drop further.

IntoTheBlock’s IOMAP for the Bitcoin price shows us that BTC faces strong resistance at around $38,612. At this price level, over 1.5 million addresses have sold more than 939,000 BTC.

Related: Bitcoin (BTC) Price Prediction for 2025 and 2030

BTC/USD volume chart 030822

BTC/USD volume chart. Source: IntoTheBlock

Looking at the 4-hour Bitcoin price chart, we see that BTC had surged to $44,469 on the 2nd. After reaching this level, the price turned bearish, falling to $43,383 and then slipping below the 20-bar SMA, falling to $42,567. The price continued to drop from this level, dropping to $40.730 on the 4th. BTC slipped below the 200 and 50-bar SMAs after dropping to this level, falling to $39,043. BTC registered a marginal increase from this level but fell back in the red, dropping to $37,854 on the 7th. The price recovered after reaching this level, rising to $39,079, but with the 20-bar SMA acting as resistance, the price fell back, dropping to $37,318. After dropping to this level, the price recovered and moved to its current level of $38,246.

We can see that the Parabolic SAR has flipped to bearish, indicating that we could see the price drop further.

BTC/USD 4-hour chart 030822

BTC/USD 4-hour chart. Source: TradingView

Almost $70 Million In Crypto Donated To Ukraine So Far As War Rages On

Ukraine donation numbers have soared following the invasion by Russia. The country, which had turned to crypto as a way to receive support from around the globe, has found it to be one of its most efficient avenues since then. The amount of crypto donated rapidly grew as prominent figures and entities such as Polkadot founder Gavin Wood and Binance joined the effort.

Wood alone had donated almost $6 million while Binance had pledged $10 to the cause. Other donations had come from supporters around the world, pushing the number higher. There has now been almost $70 million donated to Ukraine using just cryptocurrencies. 

These donations span across the official crypto wallet addresses of the Ukrainian government and those used by non-governmental organizations (NGOs) and volunteer groups who have been aiding the fight in their own way.

SlowMist recently published a report that tracks the amount of crypto that has been donated to the Ukrainian government over the course of the war. In about a week, tens of millions had been donated to the small country to aid its fight against its Russian opponents.

The official wallets provided by the Ukrainian government have received the largest amounts of donations. SlowMist reports that these various wallets combined have received more than $38.6 million in donations. NGOs such as Come Back Alive and the UkraineDAO have seen some of the highest donations.

Come Back Alive had begun receiving crypto donations long before the invasion but had seen volumes grow quickly with the way. This NGO has received over $15.4 million in donations, while UkraineDAO has recorded over $6.5 million in donations received.

Related: Ways to Make (or Lose) Money With Bitcoin (BTC)

Coinbase Blocks 25K Russian Addresses Supposedly Related to Illicit Activity

According to an official blog post, the leading US-based cryptocurrency exchange, Coinbase, has blocked “over 25,000 addresses related to Russian individuals or entities we believe to be engaging in illicit activity, many of which we have identified through our own protective investigations.”

Further, the company has shared these addresses with the US government to “support sanctions enforcement.” The post once again reiterated that the exchange is “committed to complying with sanctions.”

During onboarding, Coinbase checks account applications against lists of sanctioned entities, including those maintained by the US, United Kingdom, European Union, United Nations, Singapore, Canada, and Japan. The move comes just days after the Coinbase CEO said they would comply with the sanctions against Russia. 

Many have questioned if cryptocurrencies can be used to avoid the sanctions imposed on Russia following its invasion of Ukraine. Brian Armstrong, CEO at Coinbase, said that he does not think there is a high chance.

"That being said, we don’t think there’s a high risk of Russian oligarchs using crypto to avoid sanctions. Because it is an open ledger, trying to sneak lots of money through crypto would be more traceable than using U.S. dollars cash, art, gold, or other assets."

In the same thread, Armstrong also stressed that Coinbase would not be banning Russians from using the exchange preemptively.

Bitcoin Price Is Expected To Reach These Levels

Looking at the Bitcoin price chart, we can see that buyers and sellers are struggling to take control of the ongoing session. If buyers manage to retain the session, we could see BTC push towards $39,000. However, if selling pressure forces the price down, BTC could slip below $38,000.

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