Analyst: Bitcoin May Drop as Low as $5,400 Before Bears Take Full Control, Here’s Why

Bitcoin (BTC) and the entire crypto markets have been facing some levels of instability as the markets experience a bout of sideways trading after losing the upwards momentum that they have incurred over the past several weeks.

Although Bitcoin’s recent drop into the $7,000 region appeared to have put its bullish momentum in jeopardy, analysts are now noting that it may drop as low as $5,400 before the bulls surrender their control fully.

Bitcoin Stabilizes in Upper $7,000 Region as Selling Pressure Mounts 

At the time of writing, Bitcoin is trading down less than 1% at its current price of $7,730 and is down slightly from its 24-hour highs of nearly $8,000 which was set earlier today.

Over a one-week trading period, BTC has been oscillating between the lower-$7,000 region and the upper-$8,000 region, which is quickly becoming a fresh trading range that may ultimately lead to a persistent pattern of consolidation.

Importantly, it now appears that Bitcoin could drop significantly further in the near future before it becomes bearish from a long-term perspective.

Josh Rager, a popular cryptocurrency trader on Twitter, discussed this in a recent tweet, explaining that he believes it could drop as low as $5,400 before it falls into a long-term bearish trend, which may mean that significantly further losses are imminent.

“$BTC Pullback Areas: The lowest I see Bitcoin pulling back is the .618 fib ($5404) as any lower would be bearish, IMO. Major confluence w/ previous support/resistance between $6109 to $6814. I’m personally watching for a bounce in this area with major interest near $6400 (VPVR),” he noted.

Analyst: BTC Likely…

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