Bitcoin
Crypto Analyst Reveals Why Price Could Drop to $52,000
A Crypto Analyst Revealed Reasons Why Bitcoin Price Could witness more falls for minimums of $52,000. According to the analyst, Bitcoin has broken key support levels, which indicates a potential change from a bullish position to a bearish position.
Analyst projects Bitcoin drop to $52,000
On a post on X (formerly Twitter) on June 21, crypto analyst Justin Bennett predicted that Bitcoin may witness a price drop for key ranges between $52,000 and $54,000. He shared a price chart illustrating Bitcoin’s recent decline, highlighting that its price remains within a range, showing no clear downward or upward trend as it trades between support and resistance.
Although Bennett believes Bitcoin could plummet to $52,000, the analyst cited several reasons for this bearish outlook. It revealed that Bitcoin has surpassed a key October 2023 trendline, suggesting a move into more bearish territory. Furthermore, the analyst noted market imbalances between February 26th and 27th, indicating the possibility of less accumulation and more selling pressure for Bitcoin.
Bennett also highlighted the presence of significant liquidity below the $56,500 price threshold for BTC. He suggested that markets often move to areas with greater liquidity due to the concentration of Bitcoin buying and selling. As a result, the potential for Bitcoin to fall below $60,000 is greater.
On the positive side, Bennett revealed the possibility of Bitcoin having a bullish turnaround above $72,000, potentially capturing liquidity at these levels. However, the analyst also considers this a less likely scenario given the current state of the Bitcoin chart.
“I have been a supporter of crypto since I got involved in 2020, but facts are facts. The charts don’t look great and the stock market is the only thing stopping crypto from falling off a cliff,” Bennett stated.
Investor interest in BTC is waning
In one of his last X posts, crypto analyst, Ali Martinez revealed that investor interest in Bitcoin has started to wane. According to the analyst, BTC is experiencing a significant recession in chain activities related to exchange. Additionally, the pioneering cryptocurrency is currently witnessing a substantial drop in network usage, suggesting a change in demand for Bitcoin.
Martinez suggested that the crypto market could be Turning your attention to Ethereum, the largest altcoin in the world. He revealed that “the crowd was increasingly optimistic about Ethereum,” highlighted by the increase in mentions of the cryptocurrency on social media.
This change in investor sentiment can be attributed to the imminent launch of Ethereum spot ETFs, which is expected to attract significant flows into the Ethereum market and potentially increase the price of the cryptocurrency. Martinez also shares similar sentiments with crypto analyst Bennett, predicting a possible price correction for Bitcoin heading towards new lows of $54,930.
At the time of writing, the price of Bitcoin is trading at $64,265, reflecting a 2.87% drop over the past week, according to CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com