Bitcoin Drops Below $80K, Closes CME Gap – What’s Next?

Bitcoin (BTC) has plunged over 6.8% in the past 24 hours, slipping below $80,000. This price correction helped close a historical CME gap, a development closely monitored by crypto traders. According to analyst Rekt Capital, BTC has now filled the gap between $78,000 and $80,700, which formed in November 2024.

CME gaps occur when an asset opens significantly higher or lower than its previous closing price, often acting as magnets for future price movements. Traders frequently anticipate BTC returning to these levels, making them key technical indicators.

Historically, closing a downward CME gap has signaled bullish momentum for Bitcoin. The market correction could indicate a potential rebound, as imbalances are addressed. Industry experts remain optimistic despite the volatility. Samson Mow, a long-time Bitcoin advocate, reaffirmed his bullish stance, citing increasing institutional adoption. Similarly, MicroStrategy’s CEO Michael Saylor encouraged investors to buy the dip.

Despite shedding over 19% on the weekly chart, Bitcoin’s long-term outlook remains strong. At press time, BTC trades at $79,850, influencing broader crypto market movements. Investors and traders will be watching closely for signs of recovery as BTC stabilizes.