Bitcoin Drops Below $93,000 After 45% Recovery, How Far Will BTC Go?

Bitcoin prices fell to a six-day low of $92,775 in early trading on Tuesday in Asia. The long-awaited correction has sent the asset down nearly 7% from its Nov. 22 all-time high of $99,845.

However, by November 26, it had already started to recover with around $95,000 in Asian trading. Additionally, Bitcoin continues to rise nearly 40% so far this month.

Crypto market analysts have been analyzing how far it will fall during this pullback.

Saylor Buys, Bitcoin Dumps

The drop follows another big buy by Michael Saylor’s MicroStrategy, which amassed a whopping 55,500 BTC worth around $5.4 billion on November 25th.

“Saylor just bought $5.4 million worth of Bitcoin, ETFs keep piling up, who’s selling that we’re still under 100,000?” asked analyst and advisor “Mags”.

“It looks like Saylor really wanted to break $100,000 and failed, and now the market is just waiting for him to buy more,” said analyst ‘DonAlt’.

Bitcoin pioneer Adam Back also questioned the move: “Indeed, confusing, baffling what lettuce hands are selling Bitcoin below $100,000… why at this stage of the market.”

Bloomberg senior ETF analyst Eric Balchunas pointed to confusion in the crypto community pointing to on-chain data revealing long-term owners were making profits.

I see a lot of CTs puzzled/frustrated as to how Saylor can buy $5M of btc but the price doesn’t go up, which is the same thing I sometimes hear about ETFs after big flows. Here’s data that shows what I’ve been saying for a while: the call is coming from inside the house, they’re long-term hodlers. https://t.co/tvQsXvWV0U

— Eric Balchunas (@EricBalchunas) November 25, 2024

On November 25, analyst James Check reported that long-term holders had distributed $60 billion worth of supply in the past 30 days, adding:

“This is the biggest profit-taking we’ve seen so far in this cycle.”

Price corrections are perfectly natural market movements: price does not move in a straight line. Analyst ‘Rekt Capital’ compared the previous three cycles, noting that Bitcoin was in price discovery for 6-7 weeks before a major correction occurred. So far, it has only been in price discovery for 4 weeks this cycle, which means it could fall further into the high $80,000 range.

In the 2013 cycle, it previously took 6 weeks of increase in Price Discovery #BTC experienced its first major correction in week 7

In the 2017 cycle, it took Price Discovery 7 weeks up before a first big pullback of -34% in week 8

In the 2020/2021 cycle, $BTC they gathered 6…

— Rekt Capital (@rektcapital) November 25, 2024

Elsewhere on Crypto Markets

The rest of the market seems to be holding up better than Bitcoin at the moment. Ethereum is up 3% on the day at $3,450, but was thwarted by the $3,500 resistance on Monday afternoon.

Other altcoins that continue to gain momentum include XRP, Avalanche (AVAX), Uniswap (UNI), and Internet Computer (ICP).

However, the total market cap had dropped to $3.4 trillion due to Bitcoin’s dominance dragging it down.

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