Where Does Bitcoin Finally Bottom? These Are the Levels Analysts Are Watching

Following a 22.5% decline over the past month, with Bitcoin briefly dipping below $60,000, analysts are debating where the current bear market will bottom, with many focusing on levels under $40,000. Analyst Ardi points to the 78.6% Fibonacci retracement level from the 2022 bottom, suggesting a potential low near $39,176. Another analyst, Nehal, extrapolates from historical drawdowns, suggesting a potential bottom near $38,000 if the current cycle sees a 70% drop from its peak. On-chain data from Ted Pillows suggests a bottom near $34,500 based on the long-term holder realized price, although he personally doubts a drop that low. Conversely, some commentators argue that institutional involvement via spot ETFs makes a drop below $50,000 unlikely, as such a move would invalidate the thesis for major new capital inflows. Furthermore, Bitcoin's Sharpe ratio entering a historically significant zone suggests the market is approaching a turning point, though further volatility and declines are still possible.

(Source：BeInCrypto)