Bitcoin, Ethereum and most altcoins are crashing. Is the bull run over?
Just one dip – or more?
Bitcoin and the aggregated crypto markets faced 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. Here Bitcoin traded for some time, until it came to the next decline this morning: From around 46.700 dollars dropped BTC to 45.630 dollars, where it is currently quoted.
Data providers such as Coinmarketcap.com or Coingecko.com see in this respect today deep red: Bitcoin as the leading currency, for example, has recorded losses of almost 13% in the last few hours. Ethereum was hit even harder: the second-ranked cryptocurrency by market capitalization had to lose more than 14%.
Even high-flyer Solana (SOL), a coin that seemed to defy all corrections in recent times, is down 17%. Ripple’s XRP and Polkadot (DOT) lead the losers in the crypto top 10, with 22.60% and 25% losses on the daily chart, respectively. What’s next for the crypto markets? Is the uptrend over – are we seeing the end of the bull run?
Maybe not. Numerous analysts and traders consider the crypto crash to be a dip, that is, a temporary reset. The only question remains: how deep could the decline be before Bitcoin recovers? Popular analyst CRYPTOBIRB expects Bitcoin to close at or above $ 43,000 per month in September. Only after this, the pseudonymous trader expects 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 with a warning that technical analyst Justin Bennett is currently issuing to his more than 66,000 Twitter followers: Bennett also assumes that Bitcoin will continue to retreat. He even considers it possible for the lead currency to revisit the $ 40,000 range:
“I doubt the pullback is over. Everything closed on Tuesday under an important support.
As long as the markets don’t close above this 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 uptrend is still intact. The liquidations would not have changed that either. Clemente insured: Investor activity remains “very strong”. He for his part bought the dip, he writes.
“I’m a simple man, I see a liquidation cascade in a bull market and 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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