Bitcoin (BTC) price has plunged to one-month lows and traders are increasingly betting on the impending drop.
Bitcoin price slid to one month lows
BTC’s price performance has been weak in recent days, with BTC/USD reaching $28,850 on July 24, data from Cointelegraph Markets Pro and Trading View confirm.
Despite the brief rebound, market participants remain unconvinced that the biggest cryptocurrency has suffered the worst losses.
Cointelegraph looks at current predictions during the key macroeconomic week for cryptocurrencies and risk assets.
BTC/USD 1 day chart. Source: TradingView
$28,500 for the last drop?
For popular Crypto trader Ed, the earlier drop to Bitcoin’s lowest level since June 21 was fully expected.
Now, he believes that a final breakthrough to buying liquidity must occur, bringing BTC/USD to around $28,500. A relief bounce to $29,400 could come first.
“If we get a move like this, then I’m looking at setting up for further declines and maybe $28,500-400, more or less,” he said in his book. latest YouTube update.
Crypto Ed shows additional target boxes covering prices as low as $27,800, but admits that he is not confident that Bitcoin will make it there.
Low $27,000 to the “quit” bidder.
For fellow Crypto Chase traders, the downside could take Bitcoin towards $27,000 before a last-minute long entry is properly burned.
Speculators will have to end up bidding at key price points as BTC/USD moves lower — at $29,200, $28,500 and $28,000, he estimated in early July.
It’s going to be one of those situations where people bid down all the way.. 29.2, 28.5, 28, and after finally stopping at 27, things turn bearish. Run back to (hopefully) an untapped 32.4K.
— Crypto Chase (@Crypto_Chase) July 16, 2023
in a renew on July 24, he stated that this was likely to happen.
“This is still mostly in my mind. I can’t cut short now that a strong R/R opportunity is behind us, a worthy entry wasn’t offered based on my strategy,” he admitted to his Twitter followers.
“With that said feed has turned giga bear, still planning to bid as low as 27 for a strong bounce and see where that takes us.”BTC/USD annotated chart. Source: The Pursuit of Crypto/Twitter
The accompanying chart shows the relevant Fibonacci retracement levels for the daily chart.
Moving averages are still awaiting retesting
Ahead of a series of critical US macro events, various traders avoided Bitcoin until a clearer trend emerged.
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Nonetheless, various moving averages held as important lines, the 200-week and 21-week averages at $27,130 and $28,200 respectively.
“Bitcoin is testing support in a key zone of historical significance,” Keith Alan, co-founder of Material Indicator Monitoring Resources, summarized on July 24.
“Not sure we’ve found solid support yet, but the 21-week MA looks like it could provide a stronger foundation. Need to let things develop a bit for some clarity.BTC/USD 1 week chart with 21200 MA. Source: TradingView
As Cointelegraph reports, some of the worst-case scenarios include much deeper drawdowns, with even the $20,000 loss not completely gone.
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The views, thoughts and opinions expressed here are those of the authors themselves and do not necessarily reflect or represent the views and opinions of Cointelegraph.