Gareth Soloway, Chief Market Strategist at Verified Investing, stated that Bitcoin is following a parallel course with the stock markets. Emphasizing that there are some weaknesses in both markets, Soloway finds Bitcoin's price decline worrying and shares target bottom and top prices for BTC.
Will Bitcoin Fall Below $30K?$BTC
Gareth Soloway, in an interview with David Lin, says that Bitcoin should reach an all-time high, especially when the stock market is at its peak. However, he notes that Bitcoin has not shown the expected rise. Despite the fact that a larger trend channel is heading upwards, if the market falls further, Bitcoin could return to its critical support levels of $50,000-$49,000.
According to the strategist, if Bitcoin can maintain these levels, this could be a good buying opportunity. However, if these levels are broken, the stock market crash could push Bitcoin below $30,000. Therefore, he recommends immediate stop-loss. He also draws attention to individual investors who are new to Bitcoin due to the increase in spot ETFs; he states that these investors can panic and cause a price drop. Soloway notes that Bitcoin usually experiences a 50% correction in bear markets and therefore states that a drop to $30,000 is possible.
$100K on the horizon?
The $52,000-$49,000 range is a critical support point. If Bitcoin breaks below this level, there will be no solid support left until $30,000. Also, if BTC breaks the $69,000-$70,000 range, it could see a rapid rise to $100,000 in three to four months, with more liquidity flowing into the markets. Bitcoin has recorded a new ATH this year, but it has not been able to stay at these levels for long. Gareth Soloway questions why Bitcoin has not been able to sustain $70,000 at the beginning of the year. He argues that this is due to changes in market trends. He notes that more defensive stocks like Walmart are currently leading the market, rather than tech stocks like Microsoft and Nvidia. Riskier assets like Bitcoin have not benefited from this as investors have turned to safer options. Soloway concludes that Bitcoin’s short-term difficulties are due to a shift towards safe stocks.
