Crypto Markets Plunging Down as Bitcoin (BTC) Price Drops Below $94,000; Has the $90,000 Targets Activated?
The start of the week showed the potential for a pre-Christmas rally, but as trading progressed, bears gained significant power. this bitcoin priceIt has broken out of a bullish pattern and has now plunged and hit lower support. In this case, the market is largely believed to be entering a bearish territory; therefore, BTC price is expected to fall back below $90,000. However, the technical picture has turned bearish, which may validate the bearish case for the coin.
BTC’s 3-day streak of weakness wiped out more than 3 weeks of altcoin gains. Furthermore, with just days left to confirm the first price discovery correction, the coin risks losing every lower support level. Now, more than $1 billion has been wiped off the market, with ETFs losing more than $671.9 million in a single day as BTC prices plummeted.
Does this suggest the Bitcoin sell-off could get worse?
A popular analyst, Crypto Rover, compared the current price action to that of December 2023 and suggested that this could be the best buying opportunity. Bitcoin prices saw a similar decline after bulls sparked a strong rally in October. The correction at that time dropped nearly 15%, leading to a rise of more than 90% in the following months to a new high near $74,000. However, to trigger the rally, the price dropped another 10%, hitting bottom.
Therefore, if BTC price reflects the previous rally, the price is expected to drop another 10% and bottom between $85,000 and $88,000. Therefore, bulls are expected to enter the market and trigger a strong rally to form a new high above the speculated ATH, which is around $125,000. However, the price has formed another bullhorn pattern and if it rebounds from the current range, it may soon rise above $110,000, suppressing bearish comments.
