Bitcoin (BTC) has fallen below $100,000 again due to diminishing expectations for a Fed interest rate cut in December and heightened uncertainty due to the prolonged US lockdown.
While BTC is experiencing a sharp correction that has dragged it down to $96,000, bearish sentiment is also increasing for BTC.
However, analysts generally state that it is too early to call the correction in Bitcoin a bearish signal.
DWF Labs managing partner Andrei Grachev also commented on this point. In a post on his X account, Grachev stated that Bitcoin volatility has increased and that this period might be a good time to buy.
At this point, Grachev stated that Bitcoin is currently suitable for additional purchases, but not for sale.
Grachev emphasized the importance of DYOR (Do Your Own Research) in investment decisions, saying that investment decisions should be made by each individual.
Correction is Normal in Bitcoin!
One of the names who commented on the decline in Bitcoin was McKenna, managing partner of Arete Capital.
First, McKenna said that Bitcoin could face further correction if it closes below the 50-week moving average (SMA) at $103,010.
At this point, the analyst has identified $96,200, $93,300, $91,000, and $86,000 as support levels if the correction continues.
“…If the correction in Bitcoin continues, prices may move towards these levels.
A drop to $93,300 would represent a correction of approximately 26% from the peak, while a drop to the $91,000 to $86,000 range would represent a drop of approximately 31%.
These rates are of the magnitude of a traditional correction often seen in past cycles.”
New Bitcoin ATH in 2025 is Hard!
The analyst noted that while further corrections are likely in the short term, the outlook for BTC is optimistic in the medium to long term.
McKenna stated that the probability of Bitcoin reaching a new ATH within 2025 is low.
“…But Bitcoin is likely to trade above $150,000 in the second half of 2026.”
I even think it could reach over $200,000 by the end of President Trump’s term.
Because institutional adoption will continue and net buying of Bitcoin ETFs will continue as well.”
*This is not investment advice.