16 hour ago
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BEARISH 📉 : Bitcoin faces potential 50% correction amid 2022-like bear signals
Bitcoin is attempting to recover from a recent decline, but some analysts warn that it may be entering a phase similar to the start of the previous bear market.
Bitcoin's Current Market Position
- Recently, Bitcoin experienced a 3.6% intraday drop, falling below its yearly opening for the first time.
- Since November, Bitcoin has fluctuated between $86,000-$93,500 without turning resistance into support.
- After an early January surge, Bitcoin increased by 11.5% to $97,924 but has since lost these gains.
Analyst Philarekt notes Bitcoin is mimicking its 2022 pattern, suggesting potential further declines if the pattern repeats.
Technical Analysis and Future Projections
- Bitcoin has rejected the 100-day MA and is retesting support lines. A possible move towards the 200-day MA at $100,000 is anticipated before further declines.
- Rekt Capital highlights the fragility of Bitcoin's position, emphasizing the importance of holding key levels.
- A rejection from the $98,000 region aligns with losing a higher low structure, indicating weakening market support.
- The strength of the $86,000 support will be crucial in determining future movements. Weaker bounces could lead to a breakdown below this level.
The current weekly range is pivotal, acting as a decision point between a prolonged relief rally or deeper downside risk.