Bitcoin Poised for Breakout, But Analyst Warns of $40K Drop If Trend Reverses
A well-known cryptocurrency expert believes Bitcoin (BTC) might be preparing for a significant price surge as it remains around the $96,000 mark.
The analyst, known as DonAlt, observed Bitcoin’s improving market structure on the daily chart, suggesting a potential breakout could be on the horizon.
He mentioned, “The market is tightening, and with each passing day, a breakout seems increasingly likely, especially with the current news flow.”
DonAlt went on to note the unusual nature of recent price action, with candle bodies shrinking before growing larger, signaling that a major move could be imminent.
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However, he cautioned that if Bitcoin’s current upward momentum fails, it could see a retracement back to the $40,000 or even $30,000 levels.
“If the trend reverses, a drop to around $40,000 is possible, but I don’t foresee it falling below that. A pullback to the low $30,000 range would still represent a 72% drop from the peak,” he explained.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
