Expert Predicts Optimal Outcome for Bitcoin in July Despite Accelerated BTC Market Downturn
Bitcoin (BTC) has caused a significant downturn in the cryptocurrency industry, with a growing pessimism among investors about its next move. As market sentiment remains low, crypto trading analyst Alan Santana has shared his insights on what he believes could be the best-case scenario for Bitcoin in July. July has historically been a positive month for the original cryptocurrency.
Santana acknowledges the current state of Bitcoin, noting that it is currently in the red. He emphasizes that this is normal and expected, and part of the process before a major bull market can occur. He suggests that investors need to adapt to the current situation and accept it as it unfolds.
In his analysis, Santana highlights that Bitcoin has traded below the $60,000 level for the first time since February 2024. This level, which previously served as strong support during Bitcoin’s climb from $40,000 to over $60,000, is now at a critical point.
Looking ahead, Santana warns that if Bitcoin continues to stay below $60,000, a prolonged bearish trend could emerge. He suggests that prices could potentially drop to levels such as $50,000, $40,000, and even $30,000 if a significant negative reaction occurs.
However, Santana also presents a more optimistic scenario. If Bitcoin manages to reverse and close above the $60,000 support level, it could signal accumulation rather than distribution. This could pave the way for a potential rise to $65,000, $70,000, $80,000, and even $100,000 without major corrections.
While Santana acknowledges that this best-case scenario may seem like wishful thinking, he believes it is still a possibility. He maintains that Bitcoin has the potential to reach over $150,000, highlighting the volatility and crucial nature of the current market conditions.
Santana also factors in external influences, such as the upcoming U.S. election in 2024, which historically has been positive for markets post-election. He suggests that any significant corrections between July and November 2024 are crucial for a primary bull market in 2025 to materialize.
Currently, Bitcoin is facing increased selling pressure, especially with repayments to customers from the now-defunct Mt. Gox exchange. The market experienced a notable acceleration in pressure after Mt. Gox initiated their repayment process by moving 47,228 BTC.
As of the latest update, Bitcoin is trading at $54,490 with daily losses exceeding 4% and down over 11% on the weekly chart. The immediate goal for Bitcoin is to maintain gains above the $55,000 support level to avoid retesting the $50,000 mark.
It is important to note that the information provided in this article should not be considered as investment advice. Investing in cryptocurrencies is speculative, and there is a risk of losing capital.