Bitcoin Price Could Plunge to $52K, Analyst Predicts
Highlights
- Michaël van de Poppe predicts Bitcoin could drop to between $52,000 and $55,000 if it fails to maintain its current $60,000 level.
- Bitcoin is currently experiencing a bearish trend. It has recently declined 1.59% and is trading at $60,812.
- The trading volume for Bitcoin has decreased by 13.46%, indicating persistent bearish sentiment in the market.
Michael van de Poppe, a noted cryptocurrency expert, recently warned that Bitcoin price could fall to the $52,000 to $55,000 range if it fails to hold its current level of around $60,000. Currently, Bitcoin (BTC) exhibits a bearish trend, with its price at $60,812 after a 1.59% decline.
Bitcoin Price at Risk of Significant Drop
Bitcoin’s price shows defined resistance at $61,300 and support at $60,208. The digital currency’s trading volume has decreased by 13.46%, indicating that the bearish sentiment might persist. This trend suggests that investors are possibly taking a cautious approach, awaiting clearer market directions.
In addition, the current price stagnation near the $60,000 mark places Bitcoin at a critical juncture. Should it fail to maintain this level, van de Poppe believes a downturn is likely. This potential drop would represent a significant retreat from recent highs, and recovery could hinge on broader market changes.
Recent econometric evaluations reveal a strong correlation between Bitcoin and major stock indices, particularly the NASDAQ 100. This connection illustrates how global economic conditions continue to influence cryptocurrency prices. Both markets are experiencing a phase of uncertainty, waiting for a shift in global liquidity conditions, which could dictate their next moves.
Bitcoin has been stuck around $60,000 for a while now.
If you are a veteran hodler that’s not your first time.
But I can understand that some people are wondering if there is a problem with Bitcoin.
The answer is no. This is not a Bitcoin problem, this is a risk assets… pic.twitter.com/wGlAN0BNPQ
— ecoinometrics (@ecoinometrics) May 11, 2024
Also Read: Grayscale Draws Parallel Between Crypto Growth & Canada Stock Market
BTC RSI Suggests Impending Price Reversal
On the technical front, the Relative Strength Index (RSI) for Bitcoin stands at 43.87, approaching the oversold territory. This indicator suggests that the market could continue to see downward pressure in the near term. The RSI is a key metric used by traders to gauge market sentiment and potential price reversals.
Moreover, the market’s current sentiment aligns with predictions of a further price drop. As Bitcoin struggles to find solid footing at the $60,000 level, the likelihood of a ‘final wash’ as predicted by van de Poppe grows, potentially setting the stage for a rebound only after touching lower thresholds.
Bitcoin ETFs Outflows Impact Market Stability
Recent reports have highlighted significant outflows from Bitcoin ETFs, with U.S. Bitcoin ETFs recording cumulative outflows of $230 million over the past ten days. This trend is particularly worrying as it suggests a declining investor interest in Bitcoin, at least in the short term.
Economist Peter Schiff has also commented on this trend, indicating that such outflows could exert additional downward pressure on Bitcoin’s price. Schiff, a long-time critic of Bitcoin, points out that these movements could be early indicators of a larger bearish trend in the market.
Also Read: Tron Founder Justin Sun Bags 2M Tokens From EigenLayer Airdrop
- Crypto Market Correction Intensifies As S&P 500, Dollar Index Enter Dangerous Territory
- BitGo To Follow Gemini’s Footsteps With US IPO After 4x Revenue Surge
- Michael Saylor Predicts Bitcoin Will Outperform S&P 500 Forever
- Crypto Market Eyes Upside as FTX Set to Repay $1.6B to Customers
- Elon Musk’s X Vows Crackdown on Bribery Network Behind Crypto Scam Accounts
- Dogecoin Price Prediction as Grayscale ETF Move Meets Cycle Breakout: Is a New Peak Ahead?
- Chainlink Price Prediction: Whales Scoop 2M LINK as Analysts Eye 184% Breakout Rally
- Shiba Inu (SHIB) Price Prediction: Massive SHIB Burn and 80-Week Cycle Mirroring Past Rallies: Will History Repeat?
- Cardano Price Stays Above Ichimoku Cloud as Grayscale ADA ETF Approval Nears
- HBAR Price Prediction as SEC Approves Generic ETF Framework – Analyst Targets $1.80
- Toshi Coin Gains 57% in One Day: What’s Driving the Sudden Upside?
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
