Bitcoin has dipped significantly in the last 24 hours, causing investors and traders to expect a price below $100,000 for the first time since 5 October.
Contrary to this expectation, a crypto analyst known on X as Ali says the number one digital asset will likely not dip to that price again, let alone drop below it.
He shared a chart that suggests the lowest Bitcoin can go is $101,000 where there is strong support sufficient to keep it afloat.
Will it hold
Bitcoin corrected to around $111,000 after the liquidation that crashed the price from the all-time high of $126,000.
After recovering to $115,000, investors heaved a sigh of relief, but this was short-lived again, followed by the current correction that brought the price as low as $105,000.
Ali’s claim that Bitcoin will not drop to $100,000 anymore remains to be tested because another analyst predicted a couple of days ago that the coin would likely bounce off the $11,000 level, a trendline it had retested four times without breaking under.
Bitcoin however broke below that level yesterday and is currently trading at $105,770. This means it is also possible for the price to break under $100,000 if the bearish trend continues.
On the flip side, this prediction is a needed reassurance to investors that the market won’t get much worse than this before a rebound.
Fear against RSI
Fear has gripped investors with the correction seen in Bitcoin and it is to be expected especially among retailers.
On the contrary, the Relative Strength Index (RSI) shows that the market is oversold, which means it is time for a trend change.
Of these two, the RSI is more likely to play out, so a trend reversal may be around the corner and Bitcoin could potentially bounce from here.
What do you think?
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