Bitcoin has dropped nearly 10% in the past four days, leaving investors wondering if the correction is done. Is BTC done sliding lower? This is unlikely, considering the technical and on-chain analytics. Analysts also forecast a further drop in the world’s largest crypto by market capitalization.
Is Bitcoin Correction over?
Since the September 27 swing high of $66,498, Bitcoin price has shed 9.50% and trades today at $60.3K. Thursday’s Asian trading session saw an uptick, but in the London session, BTC is down 2.05%,
Bitcoin price is down 0.65% today
Popular crypto analyst Crypto Capo noted that the crypto market was “looking heavy” and he “wouldn’t rule out a final shakeout.” Capo expects another 10% to 20% correction for Bitcoin. Considering the current level of $60.2K, this drop would push BTC down to the $48K to $54K range. The analyst ended his analysis by saying that he was “not selling my positions, but hedging. Just in case.”
Unlike Capo, Trader Mayne, co-founder of Breakout prop trading firm, believes that there could be a bounce. Mayne adds that he wouldn’t mind “bidding” BTC between $60.2K and $58K and expect a run up to $61K to $63K. However, he did warn that a new high time frame low could be on the way unless Bitcoin reclaims the $65K level decisively.
BTC/USDT 12-hour chart
RektProof posted his Bitcoin game plan to X and expects a bounce between the $59.2K to $57.2K region. The resulting rally, according to RektProof, should propel BTC price to $70,000 or higher.
Current gameplans
Looking for price to form a short term range here and look for intraday shorts down into demand for HTF Swing longs for new highs
Patient for now#Bitcoin pic.twitter.com/9axoqVl8tK
— RektProof. (@RektProof) October 2, 2024
BTC Price Forecast: Now or Never
If the crypto market outlook has changed and the historical Q4 performance has kicked in, then a Bitcoin bounce should happen around $59.4K, which is the yearly VWAP and also critical support. This move would keep the uptrend intact and provide BTC bulls with a foothold to decisively overcome the $64K to $65K hurdle. However, a failure from bulls here could send BTC down the $57.2K to $57.9K support levels, which is the last chance to keep the bull trend dream alive.
Regardless, investors must expect one or two scenarios to play out:
BTC bounces from $59.4K but fails to overcome the $63K hurdle, leading to a correction to the 50-week Exponential Moving Average (EMA) at $55K or lower.
BTC bounces from $59.4K and overcomes the $65k resistance level, restarting the bull run. Such a development could even see the pioneer crypto revisit the all-time high (ATH) at $73,777.
BTC/USDT 1-day chart
The 30-day MVRV indicator hovers around 0 after dropping from nearly 8% a week ago. This suggests that investors have realized profits. However, it is unlikely that this correction will stop here, considering that the MVRV buy zone is between -8% to -10%.
Bitcoin 30-day MVRV
All in all, Bitcoin price prediction is that the correction is done for now and investors should watch for the aforementioned scenarios to play out.
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