Bitcoin (BTC) fell to its lowest level in nine months, dropping as low as $81,000 in the latest decline that began Thursday evening, a result of a combination of factors.
BTC has fallen below the key support level of $84,000, increasing the risk of further correction.
At this point, analysts claimed that if BTC fails to hold the $84,000 support level, it could fall to $70,000.
Analysts have warned that Bitcoin could potentially experience a sharp decline if it fails to hold the $84,000 level, which it is currently struggling to protect.
Speaking to CoinDesk, 21Shares analyst Matt Mena said that $84,000 is a very important and critical support level for BTC.
He stated that a drop below this level, and the inability to maintain it, could lead to a decline as low as $75,000.
The analyst noted that despite the risk of a decline, current prices still present an attractive entry point.
Mena added that if macroeconomic conditions permit, Bitcoin could reach $100,000 by the end of the first quarter, or even a new record high of $128,000.
Besides MENA, Ledn Chief Investment Officer John Glover also issued a $71,000 warning for Bitcoin.
Glover stated that the current correction is an extension of the downtrend that has been ongoing since the peak last October. He added that in the worst-case scenario, BTC could fall as low as $71,000.
This represents a 43% drop for Bitcoin compared to its level of $126,000 at the beginning of October.
Finally, Russell Thompson, chief investment officer of Hilbert Group, also predicted Bitcoin to fall to $70,000. Thompson said, “All the technical levels have been broken to the downside, and I don’t see much support for Bitcoin here. I think Bitcoin could fall to $70,000.”
*This is not investment advice.