Bitcoin will face a “capitulation point”
The October “Uptober”, which was originally considered to have the highest winning rate, has now passed for 11 days. With Bitcoin ($BTC) falling below $60,000 this morning, investors’ confidence in Bitcoin’s rebound seems to be beginning to waver.
Recently, well-known cryptocurrency analyst Cole Garner pointed out on the social platform The $80,000 or even $100,000 mark.
Key signals before the bull market
First of all, although he believes that Bitcoin will "capitulate" in the short term, Cole Garner still emphasizes that the comprehensive bull market of this market has not yet begun. He observes that the liquidity on the chain is gradually tightening, and points out that this is a prerequisite for a comprehensive bull market. .
Image source: Analysis by X Cole Garner
He believes that major central banks such as China, Japan and the United States are strengthening the money supply, which will help drive the price of Bitcoin upward in the future. However, as the liquidity on the chain gradually decreases, the Bitcoin price may face greater challenges in the short term. downward pressure.
From a stablecoin perspective, Cole Garner also observed that the supply of stablecoins such as $USDT and $USDC has continued to decline since the beginning of the month. Considering that changes in stablecoin supply tend to lead price movements, this means that Bitcoin The currency may face downside risks in the short term.
Image source: Analysis by X Cole Garner
However, Cole Garner believes that as short-term holders gradually withdraw from the market, the selling pressure continues to reduce, which will create accumulation opportunities for long-term holders. Once these tokens flow into "stronger hands," the stability of the market will be greatly improved. This process is commonly referred to as “changing hands” and suggests that Bitcoin ($BTC) may be approaching a price bottom.
Image source: Analysis by X Cole Garner
Judging from the chart provided by Cole Garner, he believes that the bottom of Bitcoin ($BTC) is in the range of $47,000 to $49,000, and after retracing this range, Bitcoin’s next rebound is expected to push the price to $100,000. of high points.
Technical Analysis: Rebound opportunities after short-term correction
In terms of technical analysis, cryptocurrency trader Ash Crypto recently pointed out that Bitcoin has broken out of the falling wedge pattern in the weekly range and is in the re-testing phase, which is likely to suggest that Bitcoin will usher in a wave of rebound and is expected to break through the current consolidation range.
Mike Alfred, another cryptocurrency expert, urged investors to remain confident, arguing that Bitcoin price fluctuations below $73,500 are basically “market noise”: “It’s just change bouncing around in the washing machine, really The price inflection point will be above this range.”
Based on the analysis of all parties, Bitcoin prices may experience downside risks in the short term, and may even fall below $50,000, but this does not mean the start of a bear market. On the contrary, when Bitcoin reaches the "capitulation point", it is likely to see a large price rebound and further break through the $80,000 to $100,000 mark.
