Bitcoin Stumbles Wednesday; What This Means for Bitcoin Price Predictions
Bitcoin has slipped slightly from its previous positional and could be preparing to full much further soon.
Quick overview
- Bitcoin (BTC) has dropped 1.46% to $104,778, moving closer to the critical $100K mark.
- The cryptocurrency is underperforming despite a rising stock market, indicating a loss of consumer confidence.
- If Bitcoin falls below $104K, it could trigger a mass withdrawal from investors, potentially driving the price below $100K.
- Investors are advised to monitor Bitcoin closely, as its current stagnation poses a risk of a significant price drop.
Live BTC/USD Chart
Bitcoin (BTC) should have jumped from its $104.9K position on Tuesday and climbed higher as the week progressed, but it has fallen instead.
As Bitcoin drops 1.46% today down to $104,778 (BTC/USD), the coin is placed in a precarious spot. Where it should have been climbing with the stock market, the digital token is instead slipping further toward the psychologically significant $100K mark.
Bitcoin did not drop far, but for the coin to underperform when the stock market is rising does not look good. It appears that much of the consumer confidence that Bitcoin would have built up recently has disappeared. What would be disastrous is if the coin were to slip even further and move down below $104K or lower than that. It would mean that many investors who have pushed it so high would likely withdraw, expecting the worst.
What Bitcoin’s Hovering Is Bad News
It is not good for the coin when it stays at one place too long especially if the price treads water after a price drop. Bitcoin has fallen from a recent all-time high around $111K and is now between $104K and $105K. Because the coin has stayed in one place for a couple days, there is a severe risk that it will fall dramatically over the next couple days.
The momentum has been lost, so Bitcoin is more likely to fall than to climb. What it needs is a boost from some new factor in order to climb again. This could come from whales doubling down on their investment or from economic news like a monthly jobs report. If we do not see one of these factors come into play soon, investors should expect Bitcoin to drop below $104K, which could lead to a domino effect of investors pulling out quickly and causing the price to drop below $100K. The last time that happened, Bitcoin took months to climb back above $100K, which makes that level very dangerous for the coin right now.
Investors should watch the coin closely for now and see how it moves over the course of the day. If they notice it falling back, they may want to pull out, just to protect their investments.
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