Bitcoin (BTC) Tanks Another 6% to Slip Under $38,000, Will Bitcoin Touch $30K Once Again?

After some early last week recovery, Bitcoin and the broader crypto market failed to hold up the gain. Just as the Russia-Ukraine war intensifies further, volatility and uncertainty has strongly gripped the global equity and crypto market.

After surging to $45,000 last week, Bitcoin (BTC) price has slipped once again moving under $38,000 earlier today. Well, market analysts believe that if the pace of current volatility continues, we can expect BTC to touch $30,000 very soon.

Bloomberg’s chief commodity strategist Mike McGlone stated that there’s every possibility that the BTC price may resists $30,000 once again. He believes that the upcoming week for the risk assets is going to be very tough.

He notes that Bitcoin (BTC) might be correlating with the equity market once again while comparing it to Nasdaq 100. McGlone wrote: “Digital #Gold Set to Prevail - Bitcoin faces deflationary forces after 2021 excesses, but the crypto shows divergent strength. With 2002 losses less than half those for the Nasdaq 100, Bitcoin may be maturing toward global digital collateral”.

Last week, following strong NATO sanctions on Russia, Bitcoin and the crypto market tried to decouple from equity with many believing that the Russian Ruble is moving into BTC. However, it turned out that the Ruble-denominated crypto activity was on a continuous decline as days passed following Russia’s invasion into Ukraine.

Meaning, just to avoid sanctions, Russians are not buying highly volatile asset class like crypto. On the other hand, we have seen a significant pump in the Gold price. The yellow metal aks physical Gold once again takes center stage amid the ongoing geopolitical crisis.

Since Russia’s invasion, the physical Gold price has surged 7.5% pushing it to a 20-month high of $2,000 per ounce. Well, this clearly goes to show that the yellow metal emerges a safe-haven in times of financial distress and Bitcoin has yet to attain that journey.

The recent bitcoin price correction comes amid the broader crypto market correction. The overall crypto market over the last weekend lost more than $100 billion. Ethereum (ETH) and other top ten altcoins have corrected between 5-20% extending the yearly losses.

But while the retail investors panic, institutional players have been scooping the dips. Canada’s Purpose Bitcoin ETF has bought the dips adding 5,000 BTC since the beginning of this year.