After reaching a new all-time high last month, Bitcoin’s price has since declined by over 10%, dropping below $110,000 once again. This bearish trend has persisted into the new month, with continuous sell-offs as investors aim to secure their profits. Despite predictions of a potential bottom, a crypto analyst warns that the Bitcoin downturn is far from finished. According to the analysis, the decline may just be beginning, with Bitcoin expected to fall even further.
Why A Crash To $93,000 Is Imminent
In the analysis, crypto analyst MMBTtrader recognizes that Bitcoin’s price is experiencing significant pressure. This is evident as the cryptocurrency has been rejected at the $120,000 mark and has now retraced to the next major support area.
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Currently, the $108,000 level is serving as support, preventing further decline. However, with sellers dominating the market, this level may not hold for long. Looking at the larger context, the analyst anticipates additional price decreases, which could lead to a cascading effect.
As the analyst elaborates, this occurs because the market needs to take a breather. There is also a trendline that started back in 2024, indicated by the green line, suggesting where the Bitcoin price might head next. A retest of this trendline indicates that Bitcoin could drop back to $93,000, where the trendline intersects next.
Naturally, the next retest of the trendline would mean it is hitting support. However, momentum does not indicate a potential recovery for Bitcoin’s price. Even after hitting $93,000, the analyst foresees a further decline, potentially down to as low as $70,000.
Why Bitcoin Price Could Still Jump
Should the bulls manage to maintain support and initiate a bounce, the analyst points out that there is still a chance for a price surge. For this to happen, the price would need to reclaim the trendline above $117,000 to signal an upward continuation.
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A price increase from this support level might lead to another 30% spike, pushing prices above $137,000. Nevertheless, the analyst remains firm that a breakdown is more likely. “I foresee a breakout to the downside and a more significant drop after that, possibly with red arrows indicating a higher possibility,” MMBTtrader commented.
Featured image from Dall.E, chart from TradingView.com
