Bitcoin recently surged near the holy 100,000-dollar mark. The crypto has been on an uptrend ever since Donald Trump won the 2024 US presidential elections.
Together with a favorable macroeconomic environment and surging institutional interest, BTC managed to break its record high by a mile. Previously set at 73,664, Bitcoin crossed its old peak and hit 99,655 dollars.
It is currently trading at 98,148 dollars, with a 0.24% 24-hour dip. Despite the positive performance, traders are worried that the crypto can enter a steep correction phase. Some experts even foresee a pullback to 80,000 dollars, above its old all-time high.
This skepticism is not baseless, as proven by the “order book skew ratio.” The metric reveals that Bitcoin’s buying momentum has slowed significantly, nearing the psychological benchmark. The ratio tracks the number of buy orders in the market compared to the sell order.
It showcases that many sellers are present, increasing the chances of a correction. With Bitcoin struggling to cross the psychological 100,000-dollar barrier, even the slightest negative news can impact its performance.
Based on historical data, Bitcoin price prediction suggests that BTC has experienced shrewd price cuts at key levels. The 100k-dollar one is no exception, especially seeing the dropping liquidity. Combined with a shift in investors’ sentiment, Bitcoin appears exposed to a correction.
If it does, 80,000 dollars would be the safest stoppage point for the market leader. Another key factor behind the probable decline is the shortening market depth.
The metric depicts how efficiently the market can cope with large buy or sell orders without price shifts. Low liquidity means more volatility, which can lead to a sharp pullback if numerous large sell orders take place.
Moreover, the latest fund rotation of BTC into altcoins suggests that investors are looking for high-risk, high-reward assets. The shift can put even more pressure on BTC’s price as demand goes down.
Despite the possible dip, most investors and experts remain positive about BTC’s 100k-dollar endeavor. If everything goes well, Bitcoin can easily cross the psychological benchmark in 2024.
