As a seasoned researcher with over a decade of experience in the financial markets, I have seen my fair share of market fluctuations and trends. The latest Bitcoin news about a potential BTC crash to $20,000 has caught my attention, not because it’s an unprecedented event (remember 2017-2018?), but because of the timing and the context.
Bitcoin News: A new analysis from The Kobeissi Letter suggests a possible drop of Bitcoin (BTC) to around $20,000 within the next few weeks. This prediction is based on BTC’s correlation with global monetary supply, implying that if this trend continues, a significant decrease may occur. Additionally, this forecast follows increased volatility observed in the overall crypto market, as Bitcoin (BTC) dipped below $100K just recently.
Bitcoin News: Why BTC Can Crash To $20K?
According to The Kobeissi Letter’s recent report, there’s a possibility that Bitcoin could experience a substantial decrease in value, potentially falling to around $20,000 within the next few weeks. This prediction is based on Bitcoin’s historical tendency to follow trends in global money supply, which indicates a possible sharp drop might be imminent. The study also found a strong correlation between Bitcoin prices and the overall global monetary supply, with Bitcoin typically responding with a delay of about 10 weeks.
When the worldwide money supply reached its maximum at $108.5 trillion in October, Bitcoin reached a record high of $108,000. But after that, there was a decrease of $4.1 trillion in the money supply to $104.4 trillion, which is its lowest since August. This drop has sparked concerns about the short-term direction of Bitcoin’s price.
Currently, The Kobeissi Letter is expressing apprehensions about an impending Bitcoin price drop. They argue that if the current trends persist, Bitcoin prices could decrease by approximately $20,000 within the following weeks. It’s important to note that this forecast is made against a backdrop of increased market volatility, with Bitcoin dipping below the symbolic $100K level recently. These fluctuations have sparked worries about a potential widespread selloff in the cryptocurrency market, which has been under stress due to global economic uncertainties.
What’s Next For BTC Amid Bearish Sentiment?
Recent optimistic developments about Bitcoin and its robust surge this year demonstrate its durability. Yet, a possible correction might momentarily halt its upward trajectory. Currently, traders and investors are paying close attention to broader economic indicators such as changes in monetary flow, which could substantially influence Bitcoin’s market behavior. Nevertheless, it remains uncertain whether Bitcoin will buck this forecasted trend or adhere to traditional patterns.
If a crash in Bitcoin (BTC) were to happen, it could signal a significant turning point within the cryptocurrency market, as this event would challenge Bitcoin’s status as a secure investment option during periods of financial instability. To put things into perspective, Robert Kiyosaki has recently suggested that we might be approaching an economic depression, but he advises investors to consider purchasing Bitcoin in response to the turbulent economic climate.
As a crypto investor, I’ve noticed that Rekt Capital, a well-known market expert, has pointed out a Bearish Engulfing Candlestick pattern in the crypto market. This suggests a potential downturn in market momentum.
In a subsequent article, the analyst stated that Bitcoin no longer holds its weekly support level, implying that its five-week upward trend has come to an end. Given this development, the expert advises of a possible prolonged period of decline for cryptocurrencies in the near future.
Nevertheless, even with recent developments, the institutional appetite for cryptocurrency remains robust. For instance, Matador announced its intention to invest $4.5 million in Bitcoin this month. Simultaneously, MicroStrategy has persisted in its purchasing spree, suggesting a steady market demand.
Currently, the Bitcoin price stands at a decrease of over 1% to approximately $94,430. At the same time, its daily trading volume has significantly increased by nearly 34%, reaching about $54.39 billion. Worth noting is that in the last 24 hours, Bitcoin hit a peak of $97,217. Furthermore, a current analysis of the Bitcoin price points to three possible factors that could potentially halt the ongoing bearish trend.
Read More
- LUNC PREDICTION. LUNC cryptocurrency
- BTC PREDICTION. BTC cryptocurrency
- XDC PREDICTION. XDC cryptocurrency
- USD PHP PREDICTION
- APU PREDICTION. APU cryptocurrency
- USD GEL PREDICTION
- CHEEMS PREDICTION. CHEEMS cryptocurrency
- DUSK PREDICTION. DUSK cryptocurrency
- USD COP PREDICTION
- EUR NZD PREDICTION
2024-12-23 18:12