Crypto analyst Ali Martinez suggested that the Bitcoin crash may not end despite the aid increasing to $61,000. The analyst highlighted the $60,365 price level as vital to avoid a potential crash starting from $57,000.

Bitcoin must stay above this price level to avoid a crash

Martinez stated in X’s post that $60,365 is a key price level to watch for Bitcoin. He claimed that a break below this level could cause the flagship cryptocurrency to drop to $57,420. However, if it stays above this level, the analyst noted that a rebound to $63,300 is possible. Therefore, Bitcoin’s trajectory depends on key support of $60,000.

In another analysis, Martinez suggested that in the low term, Bitcoin will likely see more downward pressure than rebound. He revealed that every correction has been made since May market value to realized value (MVRV) ratio. from the 90-day average led to a significant correction in Bitcoin.

As such, the analyst noted that the latest rejection has already resulted in a 10% decline, suggesting that Bitcoin could experience a larger price decline. Analyst Justin Bennett he also believes that Bitcoin is likely to fall lower and predicts that it could fall as low as $57,000. He added that it would be nice to take advantage of the relief in the form of taking low positions in the amount of $63,200.

Meanwhile, he referred to Report on work in the USAwhich is scheduled to be published on October 4. The analyst expects significant volatility amid these inflation data. A destitute earnings report could lead to a Bitcoin crash similar to what happened in August, when the flagship cryptocurrency fell to $54,000. Inflation data is also vital because it gives insight into whether the market might expect this further rate cuts from the Federal Reserve this year.

Veteran trader Peter Brandt also seems bearish on Bitcoin at the moment. Highlighted “Three Blind Mice” a pattern that was forming on the BTC chart, indicating that the cryptocurrency would witness a bearish reversal after October’s uptrend.

Why a price crash can be good

The analytical platform in the Santiment chain suggested that a crash in Bitcoin prices may be much needed for the flagship cryptocurrency to rally. The platform noted that the crowd has cooled down significantly in its cryptocurrency excitement since BTC retreated more than 9% from its local peak of $66,400 recorded on September 27.

Saintly he said this is encouraging given that markets typically move in the opposite direction of crowd expectations. As such, Bitcoin’s price could enjoy an unexpected rally given that market participants are more bearish on its trajectory.

Ali Martinez he noted that Bitcoin was currently in a complacency phase and simply needed to cold down before it began another surge.

Featured image created with Dall.E, chart from Tradingview.com