Bitcoin's Descent: Is the Path to "Bearadise" Inevitable?

Bitcoin's Fall Sparks Concerns of a Return to $20K Levels

Bitcoin's recent performance has reignited concerns among market experts, with many predicting a potential return to its previous cycle's all-time high of $20,000 — or even lower.

Weekend Woes for Bitcoin: Data sourced from Cointelegraph Markets Pro and TradingView paints a somber picture for Bitcoin, revealing a subdued BTC/USD performance over the weekend. The cryptocurrency has witnessed an 11% decline over the past week.

Keith Alan, the co-founder of the monitoring platform Material Indicators, remains cautiously optimistic. He anticipates that the $25,000 mark might give way, paving the path to retest the support level of the 2017 Bull Market Top, which hovered just below $20,000. However, he believes this descent won't be linear. Alan stated in his analysis on August 19:

A lot of analysts were caught off guard this week. Many of us expected a big downside move was coming, but there were a number of reasons I thought it wasn't coming yet, but as I said to @MBRichardson87 on this week episode of #BlockchainBanter, those moves tend to come when you… pic.twitter.com/yAuXPyaCPX

— Keith Alan (@KAProductions) August 19, 2023

This sentiment is echoed by other market observers who believe that if the $25,000 level fails to provide support, the $20,000 mark could be back in play. Popular trader Skew mentioned,

"A dip below $25.3K might target the $24K - $23K range for a stronger buyback reaction, failing which we could see a slide towards $20K."

Skew, however, hinted at a potential bounce in the BTC price around the weekly close, with $28,500 as a possible target if buying pressure intensifies.

Analytics platform Whalemap has identified some less drastic support levels below $25,000, based on past whale buying volumes. The platform highlighted significant on-chain volume pockets at $23,200 and $21,000. If Bitcoin's price plunges further, Whalemap suggests keeping an eye on the $19,200 and $16,600 marks. However, it's worth noting that previous whale support levels at $28,250 and $26,950 failed to stabilize the market during its recent decline.

@Whale_Map shares their insights into different support levels on X.

The cryptocurrency market is known for its volatility, and Bitcoin's recent performance is a testament to that. As experts and analysts weigh in with their predictions, investors worldwide are closely monitoring the situation, hoping for clarity in these uncertain times.