Bitcoin price is navigating volatile territory as prominent analysts share differing views on its future trajectory. A potential correction of 20% to 30% is drawing attention, with analysts considering it a healthy development for BTC price.
Bitcoin Price Analysis By Experts
Crypto analyst Ali Martinez stated on X, “A 20% to 30% correction is the most bullish thing that could happen to Bitcoin $BTC!” This aligns with his earlier caution about a possible crash to $60,000, considering current price around $94,500. Martinez’s observations coincide with notable bearish outlooks presented by other analysts.
Tone Vays expressed concern about Bitcoin’s position below $95,000, stating it could lead to further losses. He remarked, “Trading below $95,000 is ‘very, very bad’ because it increases the probability of a correction to $73,000!” Similarly, Peter Brandt highlighted the risk of a breakdown from a “broadening triangle,” potentially driving Bitcoin toward the $70,000 zone.
A 20% to 30% correction is the most bullish thing that could happen to #Bitcoin $BTC! pic.twitter.com/YoSDrY5SEI
— Ali (@ali_charts) December 27, 2024
Mark Newton, another prominent analyst, suggested that a downswing to $60,000 may be imminent, adding to the bearish sentiment. Echoing this, Benjamin Cowen drew parallels with the $QQQ, suggesting a flash crash to $60,000 could occur near former U.S. President Donald Trump’s inauguration day.
From an on-chain perspective, the outlook remains cautious. Martinez noted that a drop below $93,806 opens the door for Bitcoin price to decline to $70,085. The recent movement of 33,000 BTC, valued at over $3.23 billion, to exchanges by investors suggests awareness of this bearish scenario. Additionally, significant profit booking was observed on December 23, when $7.17 billion in Bitcoin profits were realized.
On the trading side, the percentage of long positions on Binance has dropped notably. “The percentage of traders on Binance with open #Bitcoin $BTC long positions recently dropped from 66.73% to 53.60%,” Martinez highlighted.
Bitcoin price’s recent dip below the critical $97,300 support zone further adds to the pressure. However, Martinez has revealed a bullish outlook for BTC in case of a bounce back after the correction.
He emphasized, “For the bearish outlook to be invalidated, #BTC must reclaim this critical area of support and, more importantly, sustain a daily close above $100,000!” Sustaining this level could pave the way for a new rally toward $168,500.
Also Read: Is Litecoin Poised to Shake Bitcoin’s Dominance? Discover the Facts
