The Bitcoin price continues to trade sideways, as uncertainties on the macro side have made investors undecided about their next move. Crypto analyst Michael van de Poppe has provided insights into Bitcoin’s price trajectory and has raised the potential of the crypto dropping to as little as $48,000.
What Could Make Bitcoin Drop To As Low As $48,000
Van de Poppe mentioned in an X (formerly Twitter) post that Bitcoin could break below $56,000 and drop to a price goal of $48,000 if the Consumer Price Index (CPI) inflation data comes out badly. Meanwhile, he added that with Bitcoin currently above $56,000, the primary resistance it needs to interrupt is between $60,000 and $61,000. He claimed that a breakout would bring Bitcoin next to its current all-time high (ATH) at $73,000.
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Source: X
The CPI inflation data released on August 14 saw a 0.2% monthly increase in July and rose at an annual rate of two.9%, meeting expectations. As such, it was neither considered bullish nor bearish for the market, as Bitcoin remained regular following the news. Nonetheless, the positive is that the info showed inflation is slowing and that a potential rate of interest cut in September remains to be on the table.
Despite the CPI data not coming out badly, Van de Poppe’s forecast of Bitcoin dropping to as little as $48,000 could still be on the cards, seeing because the flagship crypto’s price motion has looked more bearish than bullish in recent times. Alex Kuptsikevich, senior market analyst at FxPro, recently mentioned that Bitcoin is more prone to fall by $5,000 relatively than rise by the identical amount.
A $5,000 drop in Bitcoin would put it below the $56,000 resistance level Van de Poppe highlighted, putting $48,000 in sight. Crypto analyst Altcoin Sherpa also mentioned that Bitcoin will likely drop into the $40,000 range if it fails to interrupt above its current price level. He added that a successful breakout will take Bitcoin to $70,000.
Source: X
A Strong Rally Is Coming For BTC
Amid Bitcoin’s price, which is looking undecided about its next move, crypto analyst Mikybull Crypto has assured us that a “strong and large rally” is looming for the flagship crypto. He made this statement while revealing that the global liquidity index has broken out of the 2-year resistance. He noted that Bitcoin’s correlation with the worldwide liquidity index is sort of strong.
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Source: X
The analyst, who had earlier claimed that the Bitcoin bottom was in, also recently stated that the flagship crypto’s next goal because it begins its wave five expansion can be $95,000 and then $142,000.
Source: X
On the time of writing, Bitcoin is trading at around $58,400, down over 4% within the last 24 hours, based on data from CoinMarketCap.
BTC price struggles to carry $58,000 | Source: BTCUSD on Tradingview.com
Featured image created with Dall.E, chart from Tradingview.com