$BTC WOES NOT OVER? THEN BRACE FOR FURTHER CRASH TO 47000 🚫
Although Bitcoin has reclaimed the $56K level in the past few hours, it's sudden drop below $54K on July 5 has reminded the investors of the intense volatility associated with the market. In the larger time frame, BTC has been down by 7% and 20.25% in weekly & monthly frames respectively.
📉 A crash towards $47000
CEO of CryptoQuant Ki Young Ju noted the possibility of BTC dropping to $47K. According to him Bitcoin is still in a bull market in the larger time frame, which will continue until early 2025. This school of thought resonates with many other price outlooks for BTC, especially in the long term. Despite this bullish projection, market participants are currently struggling with short-term bearish conditions.
He further warns traders not to open high-leverage long or short positions based on his long term bullish projections due to the prevailing uncertainty. When asked what his long term price target for BTC was, he noted a rise to $112K at the peak of the cycle. This prediction is based on the BTC realised market cap since July 2010.
📢 Bearish Case for BTC
Despite the price recovery and a rebound to 57K, the crypto faces a significant risk of falling further amid whale selloffs, which have amounted to over $1.7B in BTC in the past 30 days. Defunct crypto exchange Mt. Gox is also starting to repay it's creditors in BTC after 10 years of inactivity. This is anticipated to unleash a $2.71B worth supply of Bitcoin into the market, perhaps intensifying selling pressure.
So, a reversal to the downside is not out of the books yet. If Bitcoin were to fall to $47K, it would represent a 16% decline from the current price level.