Bitcoin (BTC) has seen a rapid recovery over the past two days, rising above $93,000. This rapid recovery has spurred predictions of a bottom, with Wolf Research also pointing out that a bottom could be coming.
So market participants are actually divided, Wolf analysts Rob Ginsburg and Reed Harvey said in a note Thursday.
Therefore, half of investors believe a bear market has begun, and the other half believe the bottom has been reached, he said.
At the moment, analysts note that the crypto market is divided into bulls and bears, creating a potential buying opportunity.
“Wolf Research positions the market somewhere in the middle, but also believes investors may be nearing a suitable entry point,” the analysts said.
Despite Bitcoin’s quick and strong recovery above $90,000, Wolf Research reiterated its prediction that Bitcoin will bottom near $75,000, saying, “Our view remains unchanged.”
Although BTC has now climbed back above $90,000, Wolff cautioned investors to be wary of a bearish wave, citing continued weakness in crypto ETF flows and declines in digital assets overall.
Wolf recently said that while Bitcoin’s momentum is improving in the short term, the next big test will be at $101,000, where the 50-day moving average is.
The company said the actual initial test amount is $101,000, but $100,000 is likely the more meaningful psychological level for investors.
*This is not investment advice.
