Bitcoin Price Falls Below $80,000, Top Analyst Predicts What Next

After days of persistent market volatility, the price of Bitcoin (BTC) has fallen below the $80,000 milestone.

Several market analysts have voiced their opinions about Bitcoin’s price dynamics and the future of the leading cryptocurrency.

Alongside BTC, most top market altcoins are in red, raising concerns for crypto investors.

Bitcoin Records Historic Fall for the Month

So far, March has seen Bitcoin fall below key levels. According to market data, BTC’s price has dropped over 18% in the month, dropping below the psychological $80,000 level.

Within 24 hours, Bitcoin price decreased by 4.5% to trade at $78,369. This is the second time the flagship coin has dropped below the $80,000 mark following a massive market sell-off.

The price of Bitcoin surged to $94,000 last week following President Donald Trump’s crypto reserve announcement. Shortly after, Bitcoin took a steep dive, dropping below $84,000, erasing most recent gains.

The sharp decline wiped out almost $980 million in leveraged positions, marking one of the most significant single-day liquidation events in recent months.

Market analysts attributed this sudden downturn to a classic “buy the rumor, sell the news” reaction following Trump’s crypto reserve announcement. Bitcoin briefly reclaimed $92,000 before retreating, dropping below $90,000 on March 6.

This decline mirrored the weakness in U.S. equities. The S&P 500 dropped 1.3% after Philadelphia Federal Reserve President Patrick Harker warned of economic stress in lower-income households.

Also, the market remained cautious ahead of Trump’s March 7 Crypto Summit. Despite speculation of bullish announcements, traders showed limited enthusiasm, with Bitcoin falling 2%.

The Benjamin Cowen BTC Prediction

Market participants are now forecasting the future direction of BTC amid the overwhelming volatility.

Top market analyst Benjamin Cowen reiterated that Bitcoin dominance has returned to over 60%. On January 2, Bitcoin dominance broke over 60% amid a general downturn in the crypto markets in response to Trump’s trade tariffs.

Bitcoin dominance measures the coin’s share of the total crypto market cap. It measures the ratio between the market capitalization of Bitcoin and that of all other cryptocurrencies.

In his latest post, Cowen predicted that the market selloff would continue until the US Federal Reserve ends its Quantitative Easing (QT).

He added that the market would eventually rally before macroeconomic trend worsens later in the year.

Bitcoin Price and Bull Run

Bitcoin struggles to maintain its former momentum as bearish factors dominate the market.

CryptoQuant analyst aytekin466 commented that the market is going through a period where the bulls’ perception is being seriously tested.

The analyst’s comment comes amid heightened discussions about whether the market is bullish or bearish.

As the analyst pointed out, the Spent Output Profit Ratio (SOPR) and funding rates are key factors determining the market’s state.

The analyst noted that SOPR is usually greater than 1 in a typical bull market, unlike in a bear market. The analyst said the bull market still seems to be in play, as indicated in the SOPR graph.

Furthermore, funding rates are another strong indicator that rarely turns negative in bull markets.

The analyst posted a graph showing the funding rates trend during the 2020 to 2021 bull run. He said the current trend still resembles that same bull market pattern regarding funding rates.