Bitcoin Price Predictions: Analyst Forecasts Fall to $85,600

The price of Bitcoin (BTC) surged by nearly 8% last week, hitting a new record high of $99,655 on November 22. Since then, the leading cryptocurrency has seen a slight dip, hovering around $98,200 in the past 48 hours. However, there are talks of a potential major price correction as Bitcoin has been on an impressive rally over the past seven weeks.

Popular crypto analyst Ali Martinez recently shared insights on Bitcoin’s future price movement. Using the TD Sequential indicator to predict price reversals, Martinez suggested a sell signal on Bitcoin’s 12-hour chart, hinting at a possible price decrease.

Many in the crypto community are anticipating a price correction for Bitcoin, considering its significant 61.76% price surge from $60,500 in early October. Various indicators, such as the Relative Strength Index and the Fear & Greed Index, point towards an overbought market condition, signaling a potential price pullback.

Analyst Maartunn highlighted that Bitcoin’s Fear & Greed Index is at a 4.5-year high of 94, indicating extreme greed among investors. While this is usually a bullish sign, it also suggests a possible overvaluation that could lead to significant price corrections. Additionally, traders’ unrealized profits in Bitcoin are currently at 57%, inching closer to the peak of 69% seen in March 2024, further raising concerns of an imminent price correction.