Bitcoin (BTC) is facing renewed bearish pressure, leaving analysts divided on the immediate and long-term direction of the market. After a weekend rally that challenged $61,000, the price has fallen by as much as 15%, prompting speculation about a potential bottom.
Fresh Attack on $60,000 or Lower Lows?
Technical analyst Mark Cullen, using the Elliott Wave theory, predicts an imminent dip towards $59,000, potentially marking the final leg down of a corrective wave. This level would represent the lowest point since late February and a significant decline from recent all-time highs.
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Weekly Close in Focus: A Buying Opportunity or Sustained Downtrend?
Analyst Matthew Hyland highlights the importance of the upcoming weekly closing price for BTC/USD. Historically, losing the support of the 10-week moving average (currently at $64,130) has been followed by rebounds. However, a confirmed weekly close below this level could signal a more sustained downturn.
Long-Term Outlook: Accumulation Phase or Frustrating Conditions for Bulls?
On-chain analyst Binh Dang suggests a longer-term perspective with his adjusted cumulative value days destroyed (CVDD) metric. This metric indicates a potential period of accumulation for Bitcoin (Phase 2) before another attempt at reaching new highs. While Dang acknowledges historical corrections, he believes the current geopolitical climate won’t trigger a panic similar to the March 2020 crash. His “worst case” scenario points to a potential drop near $40,000.
The Verdict: A Market in Flux
The current Bitcoin price action presents a complex picture. While some analysts predict a short-term dip to $59,000, others emphasize the importance of the weekly close and the potential for a longer accumulation phase. The next few days will be crucial in determining the direction of the market, with the weekly close serving as a possible turning point.
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