A widely known crypto analyst is warning about Bitcoin (BTC), saying it could fall even further if bulls lose momentum.
In a new thread on social media platform X, crypto trader Justin Bennett tells his 115,500 followers that the flagship digital asset could fall back to $85,000 if BTC bulls fail to reclaim the $102,000 level.
According to Bennett, Fed Chairman Jerome Powell’s recent announcement that the Federal Reserve is not allowed to hold BTC not only triggered a crash in the cryptocurrency markets, but also the stock market.
“Looks like we’re going down after BTC failed to hold above $102,000. I know everyone expects crypto to go up again tomorrow, and maybe it will, but it’s not just the crypto market.
Powell’s signal triggered a stock market crash on Wednesday, with the Nasdaq down 3.6% in one day, the DXY (US Dollar Index) up 1.2% above the key 108.00 level and bond yields rising 3% to new seven-month maximums. . Until proven otherwise, there is no risk.
As for Bitcoin, the return level is $102,000. If the bulls fail to do this, the bottom of this channel will be next, the break of which will open the door to $91,600 and $85,000.”
However, the crypto strategist says he doesn’t quite believe the BTC bull market will end unless BTC is able to hold the $102,000 support level, as the flagship digital asset typically falls 20-30% during bull runs.
“The bull market is not over yet [in my opinion]. We know that Bitcoin has several 20-30% pullbacks in every bull market and this will not be any different this time. The 2024/2025 Holiday Sale starts in a few weeks. Get ready.
According to Bennett, if BTC really wants to break out, it needs to separate itself from stocks that seem poised for the next drop.
At the time of writing, Bitcoin is trading at $100,838, down 3% in the last 24 hours.
