Bitcoin price continues to trade sideways as uncertainty on the macro side has left investors undecided about their next move. Cryptocurrency Analyst Michael van de Poppe provided information on Bitcoin’s price trajectory and raised the possibility of the cryptocurrency falling to as low as $48,000.
What Could Cause Bitcoin Price to Drop to Just $48,000
Van de Poppe listed in X (formerly Twitter) fasting that Bitcoin could fall below $56,000 and fall to the $48,000 target price if the Consumer Price Index (CPI) inflation data turns out to be unfavorable. In the meantime, he added that Bitcoin now above $56,000the first resistance it needs to break is between $60,000 and $61,000. He claimed that breaking that level would take Bitcoin past its current level All-time High (ATH) for $73,000.
This CPI inflation data published on August 14, recorded a monthly escalate of 0.2% in July and rose at an annual rate of 2.9%, meeting expectations. As such, it was not considered either bullish or bearish for the market, as Bitcoin remained stable after the news. However, the positive is that the data showed that inflation is slowing and that potential interest rate cut in September is still relevant.
While the CPI data isn’t bad, Van de Poppe’s prediction that Bitcoin will fall to as low as $48,000 may still be in play, given that the flagship cryptocurrency’s price action has looked more bearish than bullish recently. Alex Kuptsikevich, senior market analyst at FxPro, recently mentioned that Bitcoin is more likely to fall by $5,000 than rise by the same amount.
A $5,000 decline in bitcoin would put it below the $56,000 resistance that Van de Poppe pointed to, which would imply $48,000. Cryptocurrency Analyst Altcoin Sherpa Also mentioned that Bitcoin will likely fall to the $40,000 range if it fails to break through the current price level. He added that a successful breakout would take Bitcoin to $70,000.
A robust rally is coming for BTC
Among the Bitcoin pricewho is undecided about his next move, Mikybull Crypto cryptanalyst has assured us that a “strong and massive rally” is approaching the flagship cryptocurrency. He made this statement, revealing that global liquidity index broke out of 2-year resistance. He noted that Bitcoin’s correlation with the global liquidity index is quite robust.
An analyst who had he had previously claimed that Bitcoin has recently hit its lowest level he stated that the next target for the flagship cryptocurrency as it begins its fifth wave expansion will be $95,000 and then $142,000.
At the time of writing, Bitcoin is trading at around $58,400, down more than 4% in the past 24 hours, according to data data from CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com
