Bitcoin is currently facing a critical moment after being rejected at $62,000. This rejection has led to a clash in market sentiment, with both bulls and bears actively involved in a tug of war. While bulls continue to voice confidence in the market, bears have emerged, sparking speculations of a potential further price decrease.
Renowned crypto analyst DonAlt recently shared his insights on the current state of the Bitcoin market. Despite the 15% crash that has already occurred, DonAlt believes that the worst may not be over yet. In a YouTube video, he explained that even under the best-case scenario, Bitcoin’s price is likely to drop below $60,000, marking the loss of a key psychological level. This could trigger a continued downtrend, leading to another substantial decline in the cryptocurrency’s value.
Potential Price Movements
According to DonAlt’s analysis, if the downtrend persists, Bitcoin’s price could plummet by as much as 30%. Additionally, he anticipates a period of sideways movement that could last up to 120 days, equivalent to four months. In terms of price targets, DonAlt suggests that Bitcoin’s price might dip below $50,000. However, in a worst-case scenario, he envisions a drop to $40,000 but believes that the price will not go any lower. On the flip side, in the best case scenario, he predicts a decline to $52,000 before a potential recovery.
The recent Bitcoin price crash has had a significant impact on the overall market sentiment. The Crypto Fear & Greed Index indicates that investors have shifted back towards a fearful stance, which could have negative implications for the price in the short term. Currently, the index stands at a neutral 47, having dropped to a fearful 40 on Thursday. This shift in sentiment suggests indecisiveness among investors, potentially leading to sideways movement in Bitcoin’s price, particularly over the weekend.
VanEck Announcement
Amidst the market turmoil, the announcement that VanEck has filed for Solana ETFs with the SEC failed to sustain Bitcoin’s gains. The price of Bitcoin has once again dipped below $61,400 at the time of writing, highlighting the ongoing uncertainty and volatility in the cryptocurrency market.
