Bitcoin (BTC) has once again fallen below $100,000 due to declining expectations for a Fed rate cut in December and heightened uncertainty due to the prolonged lockdown in the United States.
Although BTC is experiencing a sharp correction that saw it drop to $96,000, bearish sentiment towards BTC is also increasing.
However, analysts generally say it is premature to call Bitcoin’s correction a bearish signal.
Andrei Grachev, managing partner of DWF Labs, also commented on this point. In a post on his X account, Grachev said that Bitcoin’s volatility is increasing and that this may be a good time to buy.
At this point, Grachev said that Bitcoin is currently suitable for additional purchases, but not for sale.
Grachev said investment decisions should be made by each individual and emphasized the importance of DYOR (Do Your Own Research) in investment decisions.
Corrections are common in Bitcoin!
One of the names who commented on Bitcoin’s decline was McKenna, managing partner at Arete Capital.
First, McKenna said Bitcoin could face further correction if it closes below its 50-week moving average (SMA) of $103,010.
At the moment, analysts have identified $96,200, $93,300, $91,000, and $86,000 as support levels if the correction continues.
“…If the Bitcoin correction continues, the price could move towards these levels.
A decline to $93,300 would represent a correction of approximately 26% from the peak, and a decline from the $91,000 to $86,000 range would represent a decline of approximately 31%.
These percentages are the traditional size of corrections that have been common in past cycles. ”
New Bitcoin ATH in 2025 is difficult!
The analyst noted that while further corrections are likely in the short term, the outlook for BTC is optimistic in the medium to long term.
McKenna said it is unlikely that Bitcoin will reach a new ATH before 2025.
“…However, Bitcoin is likely to trade above $150,000 in the second half of 2026.”
I even think it could exceed $200,000 by the end of President Trump’s term.
This is because institutional adoption will continue, as will net purchases of Bitcoin ETFs. ”
*This is not investment advice.
