Key Points
- Bitcoin’s price targets sub $60K due to decreased demand from large-scale investors.
- Bitcoin market experiences negative sentiment following HBO documentary attempting to reveal Satoshi Nakamoto’s identity.
Bitcoin’s price has been experiencing a downward trend, with the price aiming for sub $60K. This comes after it was rejected at the resistance level around $65.6K in the past few weeks. The leading cryptocurrency’s price has continued with the multi-month bearish sentiment, dropping over 2 percent in the last 24 hours to trade around $60.8K on Thursday, October 10, during the early London session.
As Bitcoin’s price retested the crucial support level above $60K, the altcoin industry also suffered. This led to a loss of over 3 percent in the past 24 hours to a market cap of around $2.22 trillion at the time of this report. Consequently, more than $161 million was liquidated from the crypto leverage market, mostly involving the long traders.
Technical Standpoint and Future Predictions
From a technical standpoint, if Bitcoin’s price does not rebound from the current support level, another drop could lead to further altcoin correction in the near term. Veteran trader Peter Brandt predicts that Bitcoin’s price could drop as much as $48K in the near term, before kickstarting the next bull cycle with a target of about $135K by the third quarter of 2025.
In the short term, Bitcoin’s price continues to trade inside a falling parallel channel, which began in March this year. However, a consistent close above $66K will propel Bitcoin’s price towards its all-time high (ATH) before the end of this year.
Bitcoin Whales and Market Sentiment
The Bitcoin market has registered negative sentiment following the HBO documentary, which attempted to reveal the identity of Satoshi Nakamoto. On-chain data shows that Satoshi-era miners, who have remained inactive in the past 15 years, have begun transferring their coins to exchanges for sale.
On-chain data analysis conducted by Spot On Chain reveals that four Bitcoin whales that previously accumulated more coins in June and August have deposited more than 1,500 coins in the past two days. Furthermore, the ARK 21Shares Bitcoin ETF led the US spot Bitcoin ETF issuers in bleeding on Wednesday, after registering a net cash outflow of over $44 million. Only BlackRock’s IBIT registered a net cash inflow of about $13.8 million on Wednesday, while the rest of the issuers recorded zero cash flow.
According to market data provided by Coinglass, the supply of BTC on centralized exchanges increased by 3,284 coins in the past 24 hours, led by Binance.
Market Outlook
After consolidating for the past seven months, the crypto industry is expected to follow Gold in a bullish breakout in the near term. The upcoming US 2024 general elections are expected to trigger a fresh crypto bull market. The Fed signaled further rate cuts in the near term during its recent FOMC meeting minutes. Additionally, the escalating geopolitical tensions in different regions have pushed investors away from the bond markets.
