A widely followed crypto analyst has warned that Bitcoin (BTC) could plummet below $50,000 if it fails to hold a key support level.
Crypto trader Michaël van de Poppe told his 723,000 followers on social media platform X that Bitcoin could see another sharp drop if its immediate support levels break down.
“Bitcoin undergoing a temporary price correction Thursday night. Holding key level of support. Loss of $56,000 [on the 12-hour chart] and we could see new lows or a retest of $48,000.”
Source: Michaël van de Poppe/X
At the time of writing, Bitcoin is trading at $59,350, which would represent a correction of nearly 20% if BTC drops all the way to $48,000.
Next, analysts say the native asset of decentralized lending protocol Aave (AAVE) could be in for a massive run if it can reclaim $135 as support, the upper limit of the persistent range.
“I think DeFi (decentralized finance) will be one of the strongest performers for the rest of 2024.
ETH’s TVL (Total Value Locked) ratio is high, especially when you combine it with its market cap.
AAVE has been on a strong run over the past few weeks and could break out if it breaks above $135.”
Source: Michaël van de Poppe/X
At the time of writing, AAVE is trading at $114, having gained 6.27% in the past 24 hours.
Finally, analysts say that if Ethereum (ETH) retakes key support levels against Bitcoin (ETH/BTC), it would indicate bullishness for the smart contract platform as well as the broader altcoin market.
“Ethereum looks unchanged. For me: breaking above 0.046 BTC is important, if that happens, altcoins are starting their party time. Until then: patience.”
Source: Michaël van de Poppe/X
At the time of writing, ETH/BTC is trading at 0.04413 BTC ($2,612), down 1.34% over the past 24 hours.
