Bully Rally Hits a Roadblock! Bitcoin Price Could Experience a Drop to $60K as Market Makes Corrections
Bitcoin Price Plunges 8.2% in 24 Hours, Analysts Warn of Further Drop to $60k Before Rebound
In a surprising turn of events, Bitcoin (BTC) experienced a sharp decline, plummeting by a staggering 8.2% within a mere 24 hours to reach $66,699. However, the cryptocurrency quickly made a recovery, bouncing back and surpassing the $67,730 mark.
But what does this mean for the future? Is it just a temporary setback or a sign of a more significant correction? Analysts weigh in on the matter.
Liquidation Chaos: Over $680 Million Lost
Amidst this rollercoaster ride, an astonishing $680 million in assets were liquidated, causing a stir within the crypto community. Coinglass reveals that $545 million originated from long orders, while $134.6 million came from shorts, casting a cloud of uncertainty over the market.
This sudden upheaval has affected 193,270 individuals involved in the cryptocurrency world. Notably, the OKX – BTC – USDT – SWAP platform witnessed a substantial $13.3 million liquidation, further intensifying the situation.
Expert Warnings: Brace for Impact
Renowned crypto analyst Captain Faibik has recently issued a cautionary statement that echoes through the market. Pointing to a confirmed Rising Wedge Downside Breakout, he suggests that Bitcoin’s value may drop, potentially testing the $60k threshold before the Halving Rally.
Captain Faibik’s analysis is supported by the MVRV (Market Value to Realized Value) indicator, which serves as an ominous signal. Currently, it hints at a potential dip to the 2.4 MVRV level, around $60k, further reinforcing expectations of an impending correction in Bitcoin’s trajectory.
CrediBULL Crypto, another analyst, shares a bearish perspective, citing the market’s failure to meet anticipated price surges. Despite drops in Open Interest (OI), CrediBULL Crypto expects further downward movement before a stabilizing “baseline” emerges.
The “Green Zone”
Even amidst the uncertainty, analysts have identified a support zone known as the “green zone,” ranging from $63,000 to $64,000. This zone offers hope for a potential rebound and serves as a glimmer of stability in these tumultuous times, especially with the reduction in Open Interest.
As Bitcoin continues its journey through volatility, investors find themselves preparing for the unknown. They rely on expert insights to navigate the unpredictable currents of the crypto market.