Could A Drop To $75,000 Signal The Final Correction?
Bitcoin (BTC) has experienced significant gains since Donald Trump won the election on November 5, reaching an all-time high above $108,000. However, this momentum Cryptocurrencies have faltered recently as the cryptocurrency fell below the key $100,000 mark,
This has prompted analysts to speculate that a deeper correction may be coming, with some experts believing that Bitcoin could fall to levels around $85,000 or even $75,000 before resuming its upward trajectory.
Is it a temporary setback or the calm before the final climax?
AnalystMorecryptoonl Highlights Current market dynamics indicate that Bitcoin is likely to rise to $85,000. This prediction stems from the observation that the latest wave of price action lacked the strength commonly seen in bullish trends and failed to reach key extension levels.
The “overlapping and corrective nature” of the rebound highlighted by analysts further supports the view that a sharp pullback may be on the way. If this happens, it could represent the last major correction in the current bull market, setting the stage for an eventual surge in prices.
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Technical analyst Rekt Capital offered the opposite view, assertion A favorable entry point for Bitcoin at $75,000 is relative to its current price of around $97,000.
Rekt Capital further stated that what looked cheap now may not have been so attractive when Bitcoin was at this level before.
While some experts are pessimistic, others view the recent price correction as a major one. buying opportunity. VirtualBacon analysts believe that the marketās reaction to Bitcoinās drop from $108,000 to $96,000 is āexaggerated.ā
Is Bitcoin gearing up for new record highs?
virtual bacon assertion This decline does not indicate a market collapse, but rather a healthy consolidation phase in an ongoing bull market.
Historical data supports this view, as corrections of this nature often precede new highs. Key support levels such as the weekly 21 EMA near $79,000 and the daily 200 EMA near $73,000 remain unchanged, suggesting that even a brief dip to these levels would not derail the overall bullish outlook Structural stability.
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VirtualBacon said underlying economic conditions also play a crucial role in shaping Bitcoin’s future. Recent actions by the Federal Reserve (Fed) include moderate interest rate cut Prudent monetary policy indicates a stable economic environment.
Although the Fed continues its quantitative tightening (QT) policy, this is not expected to continue indefinitely. The growing U.S. debt crisis may require a return to quantitative easing (Quantitative Easing), has historically driven bullish trends in the cryptocurrency market.
All in all, many believe the recent decline in Bitcoinās price is a temporary setback rather than the end of a bull market. As long as Bitcoin maintains its position above key support levels, the bullish trend remains intact.
As of this writing, BTC is trading at $97,720, down 3% in 24 hours and down more than 2% for the week.
Featured images from DALL-E, charts from TradingView.com
