Crypto analyst Leshka has explained why it is unlikely that the Bitcoin price has bottomed even as it continues to attempt a recovery above $70,000. His analysis also aligns with predictions from analysts such as Doctor Profit, who predict that BTC could still drop to $40,000.
Analyst Explains Why Bitcoin Price Hasn’t Bottomed
In an X post, Leshka noted that the Bitcoin price has never bottomed after a drawdown of just 47%. He further remarked that every bear market in history saw at least 78% drawdown from the top. BTC notably saw drawdowns of around 87%; 84%; and 73% in 2013, 2017, and 2021, respectively.
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As such, the analyst declared that the Bitcoin price is not yet at a bottom and that another flush to the downside is approaching. His accompanying chart showed that BTC could still drop to around $50,000 before it finds a macro bottom in this market cycle. Leshka noted that the leading crypto continues to retest the $72,000 resistance and has failed to hold above it on every attempt. Based on this, he predicted that a drop to $55,000 is next.
Crypto analyst Doctor Profit also recently warned that the Bitcoin price hasn’t found a macro bottom, though he predicted that BTC could form a local bottom between $57,000 and $60,000. In the long term, he still expects Bitcoin to drop below $50,000 and into the low $40,000, which he believes will mark the macro bottom.
Doctor Profit stated that the leading crypto could find a bottom between September and October later this year. In the meantime, he predicts that the Bitcoin price could see a relief bounce or continue trading sideways before recording another leg to the downside.
BTC Is In The ‘Relief Rally’ Phase
In an X post, crypto analyst Julio Moreno noted that the Bitcoin Bull Score Index has reached 30, its highest level since late October. The index phase has switched from extra bearish to bearish while bull flags have turned on for exchange flows, stablecoin liquidity growth, and price momentum. However, he warned that the Bitcoin price is still in a bear market and is simply seeing a relief rally.
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Crypto analyst Benjamin Cowen noted that in bear markets, the Bitcoin price will often spend more time going up than going down. However, when it goes down, it drops very quickly, then sets a low, then trends back up for a few weeks to months before dropping again. “You can see the change in market structure from bull to bear,” he added.
At the time of writing, the Bitcoin price is trading at around $69,300, down in the last 24 hours, according to data from CoinMarketCap.
Featured image from Pixabay, chart from Tradingview.com