Bitcoin (BTC) has been on a downtrend since February 21, dropping 23% in less than 18 days. Despite this bearishness, a veteran trader and analyst explains his ideal scenario for a Bitcoin price bottom and a bullish reversal that leads to a $100,000 revisit.
Ideal Scenario for a Bitcoin Price Bottom According to Analyst
Due to the 23% crash in Bitcoin price from a high of $99,431 to $76,560, the outlook for crypto markets has been bearish, at least until BTC forms a potential bottom. RektProof, a veteran trader who turned $500 to nearly $360K, posted his thoughts on a potential Bitcoin bottom.
According to this expert, Bitcoin price will likely form a bottom in the high time frame demand zone, extending from $73,000 to $65,000. This means that RektProof is expecting another leg down, i.e., after the sweep of the recently formed local high of around $83,000.
Analyst’s Ideal Scenario For Bitcoin Price Bottom Before $100,000 BTC/USDT 1-hour chart
Analysts’ Price Targets After BTC Bottoms?
To predict Bitcoin price targets after a potential bottom formation, the analyst considers the 21% price swing between February 28 and March 2, extending from $78,200 to $94,984. A sweep of $78,200 into a high time frame demand zone could lead to a rally that revisits roughly $95K.
However, this is the short-term Bitcoin price rally that the analyst is expecting. From a long-term perspective, RektProof expects a dip into the HTF demand zone to be a bottom that leads to a new all-time high of $130,000.
BTC/USDT 1-hour chart
So, the expert forecasts two Bitcoin price targets, one at $95,000 and the other at $130,000.
Bitcoin’s Options Data Hints Investors Are Hedging for Further Downside
According to a researcher and analyst, CNO, the bottom is still not in and indicates that the “(crypto) market is still hedged for downside.” CNO sends a warning signal for eager bulls, indicating that there might be another flush to the downside before Bitcoin price reenters the $85,000 to $95,000 range.
The basis for his prediction is options data that measures the call and put options pricing over time to gauge market sentiment and potential price direction.
BTC Options
In other tweets, CNO highlights that this flush will likely occur in the next few days due to the blood moon lunar eclipse that will catalyze heightened volatility for crypto markets, including BTC’s value.
So, the overall Bitcoin price forecast from two analysts suggests another temporary but downside move that could lead to a bottom formation before BTC price targets $100K or a new ATH at $130K.
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