Bitcoin (BTC) Warning: Analyst Predicts Further Dip if Bulls Lose Momentum
A popular crypto analyst is sounding the alarm on Bitcoin (BTC), cautioning that the digital asset could see a further decline if bullish momentum wanes. Justin Bennett, a well-known crypto trader with a significant following, took to social media to share his insights with his 115,500 followers.
In a recent post on X, Bennett warned that Bitcoin might slide back down to $85,000 if bulls are unable to reclaim the critical $102,000 level. He attributed the recent market crash not only to the crypto sector but also to the stock market to Federal Reserve Chair Jerome Powell’s statement that the central bank is not authorized to hold BTC.
Bennett expressed his concerns by stating, “Looks like we’re heading lower after BTC failed to hold above $102,000. I know everyone is expecting crypto to move back up tomorrow, and maybe it does, but this isn’t isolated to the crypto market. Powell’s signaling on Wednesday triggered a stock market rout, with the Nasdaq dropping 3.6% in a single day, the DXY (US Dollar Index) surging 1.2% and breaking the 108.00 key level, and bond yields rallying 3% to fresh seven-month highs. It’s risk-off until proven otherwise. As for Bitcoin, $102,000 is the level to reclaim. If bulls can’t do it, the bottom of this channel is next, with a break there opening the door to $91,600 and $85,000.”
Despite the potential downward trend, Bennett remains optimistic about the long-term prospects of the BTC bull market. He noted that Bitcoin typically experiences 20-30% pullbacks during its bull runs, suggesting that the current market conditions may not signify the end of the bull market. Bennett added, “The bull market isn’t over [in my opinion]. We know Bitcoin has several 20-30% pullbacks in every bull market, which will be no different this time. The 2024/2025 holiday sale starts in a few weeks. Get ready.”
To truly break out, Bennett emphasized the importance of Bitcoin decoupling itself from the stock market, which he believes is poised for further decline. As of the latest update, Bitcoin is trading at $100,838, reflecting a 3% decrease over the past 24 hours.
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In conclusion, while Bitcoin faces potential challenges in the short term, the underlying bullish sentiment remains intact. As investors brace for potential market fluctuations, staying informed and proactive can help navigate the ever-evolving crypto market landscape.
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