Bitcoin Analysts Engage in Discussion: Has BTC Reached Its Lowest Point or Anticipates Additional Correction?
Bitcoin (BTC) is experiencing a recovery in its price after a recent decline, but experts have differing opinions on whether it has reached its bottom. Renowned analyst CrediBULL Crypto predicts that Bitcoin’s price will bounce back and potentially reach $40,000 after dipping to $38,000. However, there is a risk of further decline, and the analyst advises against going below $36,000. CrediBULL Crypto’s perspective is based on the recent approval of spot Bitcoin ETF filings by the US Securities and Exchange Commission (SEC), which introduces a new variable to the market. The analyst believes that although selling pressure may persist, the potential for lower lows below $40,000 is limited, suggesting that Bitcoin may have already reached its bottom.
On the other hand, crypto analyst James Van Straten offers a more optimistic outlook, suggesting that Bitcoin could revisit the $49,000 mark for the second time after ETF approval. He attributes this potential bullish rally to stablecoin rotation, noting that a slight shift from stablecoins contributed to Bitcoin’s rise to $42,000 on January 26. Van Straten believes that stablecoin rotation alone could drive BTC prices above $49,000 in the coming days, and he highlights the role of Spot Bitcoin ETF inflows in the recent rebound. However, the rise in the Bitcoin Stablecoin Supply Ratio (SSR) on Friday indicates the possibility of a short-term correction due to increased selling pressure.
Bitcoin ETFs have had a mixed impact on the market, with experts noting a net positive effect despite outflows from the Grayscale Bitcoin ETF. On January 26, 2024, the Grayscale Bitcoin spot ETF (GBTC) experienced a record single-day net outflow of $671 million, contributing to cumulative net outflows reaching $5.46 billion. However, Bitcoin ETFs as a whole have seen more inflows, reflecting a positive market sentiment.
As of Saturday, January 27, Bitcoin briefly touched $42,000 but struggled to maintain this level. The current BTC price is $41,747.53, reflecting a 2.41% increase. While Bitcoin’s market capitalization is $818.73 billion and there has been a 14.74% rise in the 24-hour trade volume to $23 billion, its value remains below the day’s high of $42,209.39.