Bitcoin has plunged under $80,000 per bitcoin as a crypto rout that’s wiped $1 trillion from the combined market gathers pace, fueling fears of more pain to come.
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The bitcoin price is down around 25% from its all-time high of almost $110,000 per bitcoin, crashing back as insiders warn of bitcoin price “suppression.”
Now, as traders are warned not to “buy the dip,” analysts are predicting how deep the bitcoin price correction could go and if it will escalate into a full-blown market crash.
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U.S. president Donald Trump’s latest salvo of international tariffs have been blamed for the bitcoin … [+]
“According to technical analysis, the next target for bitcoin’s price is around the $70,000 level, which serves as a strong support zone,” Ruslan Lienkha, chief of markets at bitcoin and crypto platform YouHodler, said in emailed comments.
“However, we will only see this level if negative sentiment dominates the equity markets. U.S. stock indices have been in the red for several consecutive days, but it is still too early to conclude that the broader uptrend has ended—it could simply be a market correction.”
“Bitcoin follows a textbook ascending broadening wedge pattern, which projects a target price in the low $70,000s,” Markus Thielen, the founder of 10x Research, said in an emailed note.
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The bitcoin price has dropped sharply from its all-time highs.
Analysts also pointed to U.S. president Donald Trump’s growing international trade war as driving the latest crypto market sell-off, which comes alongside the U.S. stock market falling from its all-time highs.
“The crypto market is currently very edgy, with the number 21 reading on the Crypto Fear & Greed index—marking its lowest level since September,” Agne Linge, head of growth at decentralized onchain bank WeFi, said via email.
“With the tariffs on Canada and Mexico set to take effect on March 5, the mainstream stock market is reacting to potential economic fallout. Many might continue to rotate capital from risky assets without guaranteed insulation from these trade wars. Based on the regional economic uncertainty, investors need stability, and as a naturally volatile asset, bitcoin does not offer that in the short term.”
