- A crypto analyst predicts a potential 33% drop for Bitcoin.
- Bitcoin has experienced a bullish trend for over a year.
Once it passed the $71,000 mark, the Bitcoin (BTC) price stopped and is now in an essentially indecisional state. Such times frequently come before big changes, but the direction is still unknown.
Crypto analyst Alan Santana has examined the Bitcoin chart in an effort to predict the future of the cryptocurrency and has proposed a potential downward trend.
Bitcoin Could Be Headed DownwardÂ
The study by Alan Santana looks at Bitcoin’s activity during the last year in order to project its future course. The expert notes that from November 2022 to March 2024, Bitcoin experienced a bullish wave lasting more than a year—more precisely, 479 days.
This persistently positive trend raises the likelihood of a crash because investors might start liquidating their holdings.
Extended periods of bullish waves are predicted to be followed by swift unraveling of a subsequent bearish wave. Bearish waves, claims Santana, frequently travel two or three times as quickly as their bullish counterparts.
Investors quickly selling out when they see the upward potential has been reached is what is causing this sharp collapse.
Reasons Behind Faster Bearish Waves
As the market increases, Santana says, people gradually establish their positions and take advantage of the gains.
Nevertheless, investors either get ready ahead of time or sell fast when the market swings, which causes a sharp decline. Bearish waves are therefore far faster than bullish waves because of this tendency.
According to the crypto analyst, Bitcoin will drop hard, which will affect the market as a whole. Santana projects that from its present $71,000 price, the Bitcoin price will fall by more than 30%. He projects a first crash worth about $60,000 and then more falls.
Meanwhile, CoinMarketCap data show that the price of BTC at the moment of writing is $69,337.38, down 2.68% over the last 24 hours. Bitcoin has nevertheless been bullish over the last seven days, rising 2.54%.
Santana believes that the price of Bitcoin will decrease by about 33% at the bottom of the crash, which is expected to be about $47,943. This noteworthy fall can be quite negative for the market.
On the other hand, ETHNews had previously reported research from well-known analyst Kevin Svenson, who projected a sky blue breakout for Bitcoin with a goal of $90,000.