Bitcoin Faces Risk of Breaking Down, Top Analyst Issues Warning and Sets Targets
A prominent analyst in the cryptocurrency space has issued a cautionary statement regarding Bitcoin (BTC), highlighting potential risks of a breakdown in its value. Referred to as DonAlt, the analyst shared insights with the Technical Roundup YouTube channel’s audience of 60,500 subscribers, suggesting that Bitcoin could breach a critical psychological support level, leading to a decline below $60,000.
DonAlt expressed his views on the potential price movements, stating, “I think if this range [between $60,000 and $73,800] breaks to the downside you should expect… at least 120 days of down/sideways movement.” He emphasized the possibility of a significant drop in Bitcoin’s value, indicating a potential decline of up to 35% from its current level. The analyst outlined a worst-case scenario where Bitcoin could plummet to the mid-$40,000 range, while he speculated that the lowest point might be around $40,000.
On the more optimistic side, DonAlt suggested that in a bearish scenario, Bitcoin’s value could stabilize around $52,000, followed by a period of sideways price action. He also highlighted that a weekly close above the $63,000 mark would indicate a bullish trend for Bitcoin. However, he expressed skepticism about the likelihood of such an event, estimating only a 10% chance of it occurring.
As of the time of writing, Bitcoin is trading at $61,705. DonAlt’s analysis and projections provide valuable insights into the potential price movements of Bitcoin in the near future. It is essential for investors and enthusiasts to stay informed about market trends and expert opinions to make informed decisions in the volatile cryptocurrency space.
