Bitcoin, Mt. Gox is struggling to maintain its bull market as refunds set off the biggest selloff in years.
Within the scope of this struggle, the price fell below $ 54,000, and then rose above $ 55,000 with the recovery.
The Drop is Normal, Buy the Bottom in Bitcoin!
While analysts were in a dilemma about BTC's next movements and direction, Blockstream founder and CEO Adam Back commented on the latest decline.
According to Adam Back, BTC's decline of up to 26% in the last month is consistent with historical bull run patterns.
The famous CEO, who shared his BTC analysis from his X account, said that it was at normal rates compared to the declines experienced in previous bull rallies.
“In previous bull runs, there were declines of -30%. Nowadays, we are at 26-27%. This is quite normal.
In fact, recent declines appear to be less deep, but people are forgetting the normal bull market pattern.
Don't panic, buy the dip. Buy BTC.”
The Worst Has Not Happened Yet for Bitcoin!
Apart from Adam Back, eToro market analyst Josh Gilbert also evaluated the recent decline.
Josh Gilbert said most of the sales are from Mt. Gox said it was due to fears over the repayment of creditors. According to the analyst, after these refunds, approximately $8 billion worth of BTC will enter the market in July.
Gilbert stated that after Bitcoin experienced a sharp decline to $ 53,600, he expects the decline to deepen further in the coming days.
“Bitcoin news flow is currently more bearish than bullish, and the selling activity we are seeing is clearly making investors nervous, which generally leads to more selling.
I wouldn't be surprised if Bitcoin tests $50,000 next week, but that would be an important psychological level.
A weakness will continue in the short term until we get a catalyst that will cause the price to move higher.
“This bullish catalyst could come in the form of investors starting to buy the dip or spot Ethereum ETF approval.”
Finally, Swyftx analyst Pav Hundal said that the worst scenario in Bitcoin may not have happened yet. “Long term macro conditions are still positive on Bitcoin, but in the short term we could test $50,000 and potentially lower levels. $52,000 is currently a key battleground for bears and bulls,” Hundal said regarding the price expectation.
*This is not investment advice.