Bitcoin took a nosedive recently, breaking below the $112,000 support level. But some analysts saw this coming. Let’s look at their predictions and what they say about the future of Bitcoin’s price.
Analysts Predicted the Crash
Several crypto analysts correctly predicted Bitcoin’s fall. They pointed to several key factors indicating a bearish trend.
Technical Indicators Spoke Volumes
One analyst, HAMED_AZ, highlighted a descending channel pattern on Bitcoin’s price chart – a clear sign of a downtrend. The price also broke a short-term uptrend line and hit resistance at $117,000-$120,000, coinciding with a significant Fibonacci retracement level. This confluence of bearish signals triggered the price drop. HAMED_AZ predicts further declines, with a potential target below $106,000, and a worst-case scenario bottoming out near $96,000, as long as the price remains below $118,000-$120,000.
Another analyst on TradingView noted that Bitcoin’s break below both its ascending trendline and the Ichimoku cloud confirmed the bearish momentum. With the $113,000 support already lost, they anticipate further drops to around $108,000 before a potential bottom. However, reclaiming support between $113,000 and $114,500, or a decisive close above $115,000, could reverse the bearish trend.
A Glimmer of Hope?
Not all analysts are bearish. CrypFlow on X (formerly Twitter) sees the recent decline as a potential setup for a bullish rally. Their analysis points to squeezed Bollinger Bands, a bullish Stochastic RSI crossover, and a surge in momentum – all suggesting a possible price rebound.
