A cryptocurrency analyst, known as Rekt Capital, is predicting a potential worst-case scenario for Bitcoin (BTC). While acknowledging Bitcoin’s current upward trend, Rekt Capital highlights historical patterns that suggest a significant correction could be on the horizon.
A Dip Below $97,000?
Rekt Capital, who correctly predicted a Bitcoin correction earlier this year, points to week seven of a particular Bitcoin cycle as historically problematic. He warns that if Bitcoin loses its support level around $97,000, a much steeper decline could follow. Losing this support, along with other key technical indicators, would signal a potential shift from a minor dip to a larger corrective period.
How Big Could the Dip Be?
Based on previous Bitcoin cycles, Rekt Capital suggests the potential correction could range from 29% to 40%. He cites past instances where similar corrections occurred, with a 34% drop being a recurring theme during price discovery phases. This means Bitcoin could fall significantly before potentially resuming its upward trajectory.
Bitcoin’s Current State
At the time of writing, Bitcoin is trading slightly below $97,000, showing a recent drop of 3.4%. This adds weight to Rekt Capital’s concerns.
Disclaimer: This information is for general knowledge and discussion purposes only, and does not constitute investment advice. Always conduct your own thorough research before making any investment decisions./p>
