Bitcoin (BTC) might face more price drops before starting a new two-year bull run, according to crypto trader Michaël van de Poppe. He believes Bitcoin could dip to around $53,000 next, but this might be a necessary move before the cryptocurrency moves higher.
In his latest post on X, Van de Poppe discussed the potential path for Bitcoin’s price. “Liquidity was taken & #Bitcoin is back up to $54.8K,” he wrote, describing recent price movements.
Expect a max of $55.5K on this run and then we could be revisiting $53K before clearly breaking back upwards. Final corrections & then two years bull.
Bitcoin Market Still in a State of Uncertainty
Bitcoin has struggled to gain the trust of traders in recent months, especially after hitting a six-month low below $50,000. Despite positive macroeconomic factors, like potential interest rate cuts by the U.S. Federal Reserve, potentially aiding the crypto market, the market remains uneasy. Van de Poppe pointed out that the stock markets are also unstable, which impacts the crypto market.
The equity markets are fragile in terms of liquidity, and people are very eager to put their money away towards these assets due to fear of inflation. That’s going to reverse really soon.
he noted.
This means that the markets could soon shift direction, which might help Bitcoin.
Van de Poppe compares the current situation to how Bitcoin behaved in 2019, when a significant drop led to a strong rally. He suggests that Bitcoin might be settling between $45,000 and $50,000, similar to how it found support at $6,000 in 2019. With possible rate cuts from the Federal Reserve expected on September 18, more liquidity could enter the market. Lower interest rates usually mean more money flowing into assets like Bitcoin, which could push prices up.
You May Also Like: Cardano (ADA) Will Grow 1,000% Against Bitcoin (BTC): Analyst
Two Scenarios — Up or Down?
While Van de Poppe is hopeful for a bull run after a final correction, not all traders agree. Another analyst, Jackis, believes the market is at a critical point where it could either move into a long period of growth (re-accumulation) or face a new period of declines (distribution).
Jackis argues against the idea of a “final shakeout” or one last drop before a bull run.
The length of certain ranges does matter, because the longer it is, the bigger the exchange of coins happens there.
he said.
If Bitcoin’s price breaks below its current range, it could signal the start of a bear market instead of a recovery.
A High-Risk Zone for Bitcoin
Jackis describes the current market conditions as very fragile, with traders feeling a high level of fear. He also notes that Bitcoin’s price movements are closely linked with other major assets, like Silver, which he expects to rise. According to him, if Silver moves higher, Bitcoin could follow suit. However, he warns that any weakness in the market could lead to further declines.
