Check out the latest information in Spanish.
Since President Donald Trump's election victory on November 5, Bitcoin (BTC) has experienced a significant rally, reaching an all-time high of over $108,000. However, this momentum has stalled recently, with the cryptocurrency falling below the crucial $100,000 mark.
This has analysts speculating about the possibility of a deeper correction, with some experts suggesting Bitcoin could fall to levels as low as $85,000 or even $75,000 before returning to an upward trajectory. I think it's possible.
Is it a temporary setback or a calm before the final surge?
Analyst Morecryptoonl emphasized that current market trends suggest that Bitcoin is quite likely to move towards $85,000. This prediction is based on the observation that recent waves of price movements have lacked the strength typically seen in bullish trends and have failed to reach important extension levels.
The “overlapping and corrective nature” of the rally highlighted by analysts further supports the idea that a significant decline may be imminent. If this scenario plays out, it could be the last major correction in the current bull market and set the stage for an eventual price rally.
Related books
Technical analyst Recto Capital offers a contrasting perspective, arguing that the perception of $75,000 as a favorable entry point for Bitcoin compared to the current price of around $97,000. are.
Rekt Capital further suggests that what looks like a bargain now may not have looked so attractive when Bitcoin was at that level previously.
While some experts are bearish, others see the recent price correction as a big buying opportunity. Analyst Virtual Bacon argues that the market reaction to Bitcoin's fall from $108,000 to $96,000 has been “exaggerated.”
Is Bitcoin preparing for a new record high?
VirtualBacon argues that this decline does not indicate a market collapse, but rather a healthy consolidation phase in the ongoing bull market.
Historical data supports this view, as this type of correction often occurs before new highs. Key support levels such as the weekly 21 Exponential Moving Average (EMA) near $79,000 and the daily 200 EMA near $73,000 hold, and even a temporary decline to these levels supports the overall bullish structure. This suggests that it will not become unstable.
Related books
According to VirtualBacon, the underlying economic conditions will also play a key role in shaping Bitcoin's future. Recent Federal Reserve actions, including gradual interest rate cuts and a cautious approach to monetary policy, suggest a stable economic environment.
The Fed continues its quantitative tightening (QT) policy, but this is not expected to last forever. The rising US debt crisis will likely necessitate a return to quantitative easing (QE), which has historically promoted bullish trends in the crypto market.
In summary, the recent decline in Bitcoin prices is seen by many as a temporary setback rather than the end of a bull market. The bullish trend will remain intact as long as Bitcoin remains above key support levels.
The daily chart shows that the price of BTC is in a downward trend. Source: BTCUSDT on TradingView.com
At the time of writing, BTC is trading at $97,720, down 3% in 24 hours and over 2% for the week.
Featured image from DALL-E, chart from TradingView.com
