|

Bitcoin Price Forecast: Can BTC bears manifest a 30% crash?

  • Bitcoin price shows a clear sign of exhaustion after the recent 4% slump.
  • A minor pullback to retest the breaker could trigger a 30% crash for BTC.
  • A daily candlestick close above $30,540 will invalidate the bearish thesis.

Bitcoin price shows a loss of bullish momentum, and it could be due to investors booking profits. Since BTC has produced a lower low, this move could trigger a notorious slide, catching late bulls off-guard. 

Read more: Assessing the local top for Bitcoin price from a macro perspective

Bitcoin price prepares for a big move down

Bitcoin price has set up a bearish breaker on the four-hour chart. As explained previously, this setup contains two higher highs, which paints the illusion of an uptrend, inviting more bulls to join. However, as the price slides and produces a lower low, these early investors are now trapped and looking for an exit.

As the asset’s price pulls back and retests the last down candlestick between the higher highs, it faces immense selling pressure. This retest can be a good entry point for bears. 

For Bitcoin price, the bearish breaker extends from $30,539 to $30,244, so a retest of the lower limit could be a good place for shorting BTC. But investors could choose to sell their holdings earlier at the $30,000 psychological level.

BTC/USDT 1-day chart

BTC/USDT 1-day chart

While things are looking gloomy for Bitcoin price, a swift move above the $30,000 psychological level will be the first sign of bearish weakness. If this move continues to propel BTC higher and produces a daily candlestick close above $30,540, it will invalidate the bearish thesis. 

A confirmation of the bullish outlook will arrive when Bitcoin price produces a higher high and tags the next critical hurdle at $32,661. 

Author

Akash Girimath

Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.

More from Akash Girimath
Share:

Editor's Picks

Top 3 Price Predictions: BTC, ETH and XRP rebound as major support levels cap recent sell-off

Bitcoin, Ethereum and Ripple rebound modestly on Friday after correcting and testing their key support zone the previous day. BTC holds the 50-day Exponential Moving Average, ETH finds support around the 100-day EMA, while XRP holds the horizontal floor near $1.300.

Why Hyperliquid is losing RWA market share to centralized exchanges

Hyperliquid (HYPE) is losing market share in real-world asset perpetual futures to centralized exchanges even as the overall financial market faces pressure. Hyperliquid’s trade.xyz accounted for roughly 80% of RWA perpetual trading volume in July, according to Artemis data shared by Ark Invest Digital Asset Head of Research Lorenzo Valente..

Cardano Price Forecast: Whale selling deepens ADA correction

Cardanoedges higher by nearly 2% on Friday, following a roughly 6% decline the previous day. The pullback aligns with the sell-side appeal among large-wallet investors, commonly referred to as whales, and Cardano derivatives. The technical outlook for ADA is bearish, with downside momentum persisting. Whales are losing their appetite for holding ADA tokens, fueling near-term selling pressure.

Bitcoin falls 4% as chip stocks plunge 6.7% and oil surges
Bitcoin (BTC) fell below $82,000 on Thursday as the crypto market joined a broader market sell-off driven by concerns over artificial intelligence (AI) spending, rising oil prices and escalating geopolitical tensions involving the US and Iran. The top crypto fell 4% to $81,130 as macro fears weighed on prices across the digital asset market.
Bitcoin: Macroeconomic headwinds, cooling demand cap BTC gains
Bitcoin (BTC) extends losses this week, trading below $82,500 as of Friday as selling pressure continues. Weakening institutional demand supports this pullback as BTC spot Exchange-Traded Funds (ETFs) are on track to record a two-week withdrawal streak, reaching $146.19 million in net outflows through Thursday.