How Low Could Bitcoin Fall?
Bitcoin (BTC) has fallen below the 200-day EMA for the third time in August and below the key psychological level of $60,000. The correction from $65,000 to $58,000 has raised concerns that the price could fall further.
The 4-hour chart shows that BTC is forming higher highs and higher lows, and if it holds above $61,120, it could continue to rise above $65,000.
Bitcoin’s immediate recovery from $58,000 remains uncertain, as the market enters September, a month with the lowest average ROI in the past decade. Bears predict that history could repeat itself, with further downside expected in the coming weeks.
Liquidity sweep and block orders around $54,000. If Bitcoin loses the $60,000 support level, it could correct to $54,000–$52,000, with a potential liquidation at $53,500.
Bitcoin researcher Axel Adler points out that $54,700 is a key level, 15% away from the cost basis of short-term investors. If Bitcoin falls below $54,700, bearish sentiment could increase.
If Bitcoin falls to $49,000, a further 18% correction could occur in the coming weeks. The weekly chart shows that the correction on August 6 tested the long block from $47,000 to $50,500. Retesting this block, Bitcoin will find support from the 50-day and 100-day EMA levels.
The price above $45,000 provides strong historical support for Bitcoin. This could be the last line of defense before Bitcoin can potentially recover to the upside in the quarter.
