The recent analysis from crypto analyst Altcoin Sherpa has raised concerns about the potential for Bitcoin to drop even further, suggesting that the $50,000 level may not be the bottom. Altcoin Sherpa predicts that Bitcoin could find its bottom at the $40,000 range, leading to more liquidations and further pain for investors. This viewpoint highlights the uncertainty in the market and the possibility of continued volatility in the coming months.
On the contrary, crypto analyst Mikybull Crypto believes that the Bitcoin bottom is already in and that the flagship crypto is unlikely to drop below $50,000. Using the Elliot Wave Theory to analyze Bitcoin’s price action, Mikybull Crypto points to the end of the wave four macro correction and predicts that wave five will push Bitcoin to a minimum target of $135,000 in the near future. This conflicting perspective adds to the existing confusion surrounding Bitcoin’s price movement.
In addition to the analysis from Altcoin Sherpa and Mikybull Crypto, market indicators and institutional activity also play a crucial role in determining Bitcoin’s bottom. The spike in the volatility index (VIX) and the Relative Strength Index (RSI) are both factors that analysts are closely monitoring to assess the market’s stability. Furthermore, the reassurance from the Bank of Japan regarding rate hikes and the negative funding rate for Bitcoin indicate a potential short squeeze in the market.
Moreover, insights from Cryptoquant’s CEO Ki Young Ju reveal a significant movement of BTC to permanent holder addresses, suggesting increased accumulation by institutional investors. This influx of institutional activity adds another layer of complexity to the ongoing debate about Bitcoin’s bottom and highlights the influence of external factors on the cryptocurrency market.
The conflicting views from Altcoin Sherpa and Mikybull Crypto, along with the analysis of market indicators and institutional activity, contribute to the uncertainty surrounding Bitcoin’s bottom. As investors navigate through the volatility and unpredictability of the cryptocurrency market, it is essential to consider multiple perspectives and closely monitor key developments to make informed decisions. Only time will tell whether Bitcoin has indeed found its bottom or if further fluctuations lie ahead.
Leave a Reply