Bitcoin (BTC) has taken the majority of the market down with it after succumbing to the bearish trends. However, this does not seem to be the end as investors expect the digital asset to continue its decline.
March is still in its first days, but it has already started with bad news for the market. This seems to be in line with the bearish trend expressed by respondents in Coinmarketcap’s Price Predictions feature. With over 11,000 votes gathered for March, expectations turned negative for BTC. The median price expectation as of the end of March came out to be $21,084, which represents a 5.67% reduction from current prices. If this prediction comes true, Bitcoin would have to lose another $1,200 in value and the crypto market would have to decline further.
Participants also maintained the same bearish outlook for the price over the next few months. Each month, expectations for the digital asset drop to the expected 17% losses over the next three months. At the end of May, more than 4,400 participants slashed the price of BTC as low as $18,521.
According to the Crypto Fear & Greed Index, investors still feel very neutral when it comes to the market. However, it is not far off to see sentiment turn negative and fearful very quickly, especially with Bitcoin price falling. The thing about neutral feelings like this is that it’s pretty easy to influence both parties. As prices are low, a drop in sentiment becomes more likely. This could affect the price of Bitcoin and other cryptocurrencies, leading to a further downtrend. However, the higher the probability of a negative move, the stronger the premise of a positive move. If the momentum picks up quickly, prices could also rise sharply and $25,000 could be seen once again.