Bitcoin, Ethereum and most of the altcoins are collapsing. Is the bull run over?
Just a dip – or is it more?
Bitcoin and the aggregated crypto markets saw the most brutal decline in recent weeks yesterday afternoon: In just an hour and a half, Bitcoin plunged from $ 51,060 to as much as $ 46,740 – an almost vertical red candle down. Bitcoin traded here for a certain time until the next decline this morning: BTC fell from around $ 46,700 to $ 45,630, where it is currently quoted.
Data providers such as Coinmarketcap.com or Coingecko.com are seeing deep red today: Bitcoin as the key currency, for example, has recorded losses of almost 13% in the last few hours. Ethereum was hit even harder: The second-placed cryptocurrency by market capitalization lost more than 14%.
Even high-flyer Solana (SOL), a coin that appeared to defy all corrections recently, is 17% in the red. Ripples XRP and Polkadot (DOT) lead the losers in the crypto top 10, with a loss of 22.60% and 25% respectively in the daily chart. What’s next for the crypto markets? Is the upward trend over – will we see the end of the bull run?
Maybe not. Numerous analysts and traders consider the crypto crash to be a dip, i.e. a temporary setback. The only question that remains is: How deep could the decline be before Bitcoin recovers? The popular analyst CRYPTOBIRB is converting Bitcoin to a month-end closing in September, or over $ 43,000. Only then does the pseudonymous trader expect a strong recovery – and new highs. Its updated Price targets for Bitcoin and Ethereum: up to $ 180,000 for BTC and up to $ 25,000 for ETH.
Bitcoin: new drop to $ 40k?
This fits a warning that the technical analyst Justin Bennett is currently issuing to his more than 66,000 Twitter followers: Bennett also assumes that Bitcoin will continue to withdraw. He even thinks it is possible that the reserve currency will revisit the $ 40,000 area:
“I doubt the pullback is over. Everything closed on Tuesday under an important support.
As long as the markets don’t close above that level again, I think $ BTC will visit $ 40,000 again. “
I doubt the pullback is over. Everything closed below key support on Tuesday.
Unless we see markets close back above those levels, I’m thinking $ BTC revisits $ 40,000.
It’s a weekly level that has yet to be tested as new support. Lots of Fib confluence to support that idea.
– Justin Bennett (@JustinBennettFX) September 8, 2021
Important to emphasize: According to top on-chain analysts like Will Clemente, the upward trend is still intact. The liquidations would not have changed that either. Clemente assures: Investor activity still looks “very strong”. For his part, he bought the dip, he writes.
“I’m a simple man, I see a liquidation cascade in a bull market and I buy it.”
I’m a simple man, I see a liquidation cascade in a bull market and I buy it.
– Will Clemente (@WClementeIII) September 7, 2021
Last updated on September 8, 2021
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