News 
Coin Information 
About us 
Bitcoin's recent sell-off might lead to further price declines, with analysts predicting a potential dip to $42,000.
Bitcoin Sell-Off Sparks $42K Concerns
The present Bitcoin sell-off, according to crypto experts, might cause prices to fall further lower, posing a danger of a decline below the $45,000 level.
Cointelegraph data shows that as of 10:13 am UTC, the price of Bitcoin has dropped more than 12.8% in the last 24 hours, trading at $52,369—a level not seen in five months. This was the price at which Bitcoin was last traded in February 2024.
Alex Kuptsikevich, a senior market analyst at FXPro, has predicted that Bitcoin's decline might reach $42,000.
The expert informed Cointelegraph:
“At its lowest point, Bitcoin dipped below its 50-week moving average. Without strong buyer support right now, it goes even lower, and it would trigger an even more active sell-off as it did in late 2021 and early 2022. If it doesn’t hold either, it’s worth preparing for a failure toward $42K.”
The near-term trajectory of Bitcoin's value may be decided by the price activity around round psychological thresholds, such as $42,000, which are frequently important focal areas for crypto investors.
Bitcoin Struggles to Avoid New Lows
Bitcoin may yet be able to avoid setting new lows by reversing course despite the recent downward pressure.
If Bitcoin wants to stop further declines, though, anonymous crypto analyst Moon said in a post on Aug. 5 X that the cryptocurrency must firmly regain the $51,000 mark:
Attempts to break through the $70,000 barrier were unsuccessful, according to Kuptsikevich, and the subsequent 20% drop is consistent with prior bull cycle retracements. In addition, the leading market analyst said:
“Active pressure on the first cryptocurrency started after a failed attempt to go above $70K and overcome the resistance of the descending channel seven days ago.”
Even though the market is looking bleak, the $50,000 psychological threshold is a strong support for Bitcoin's price.
Based on statistics from Coinglass, if Bitcoin were to potentially go below $50,000, more than $400 million worth of cumulative leveraged short bets would be liquidated.
Short Bitcoin Liquidations to Exceed $520M
If the price of Bitcoin drops below $49,400, the total value of short Bitcoin liquidations on all exchanges would exceed $520 million.
Comment 0