Benzinga - Renowned crypto analyst DonAlt has expressed skepticism over Bitcoin’s (CRYPTO: BTC) current support level, hinting at a potential drop below $60,000.
What Happened: In a April 17 tweet, the pseudonymous analyst voiced concerns about the stability of Bitcoin’s support level. He noted that the support has been tested multiple times, which, in his opinion, is not a good sign.
DonAlt further commented on the erratic price action of Bitcoin over the past year, stating that while it could still rise, he wouldn’t want to bet on it. With the Bitcoin halving just two days away, he suggested that a washout below $60,000 seems much more attractive.
$BTCThis support has been tested one too many times IMO
Quite bad looking, could still go up given how ridiculous price action has been in the last year but I wouldn't wanna bet on it
Wash out below $60k seems much more attractive pic.twitter.com/FGRON1b9nb
— DonAlt (@CryptoDonAlt) April 17, 2024
In another tweet on April 16, he sarcastically remarked that as he got aware of the Bitcoin halving in three days, he sold all his Bitcoin and is going to rebuy once it is completed: "Should be an easy 2x," his not-too-serious conclusion reads.
Also Read: Jim Cramer Says Just Go Buy Ethereum Or Bitcoin Instead Of Marathon Digital: ‘Let’s Not Fool Around’
Why It Matters: DonAlt’s views carry weight in the crypto community due to his track record of accurate predictions. His skepticism about Bitcoin’s support level could potentially influence investor sentiment and market behavior.
Bitcoin is down 12% down over the past seven days, plunging below $60,000 in Wednesday trading before a rebound to $62,000. Despite a lull in price action, trading volume increased by 15.7% over the past 24 hours.
Other traders chipped in with their own opinions, with chart analyst Ali Martinez referencing a tweet that had indicated $61,000 as the most important support level and $72,400 as the most important resistance level. In case of a support break, Bitcoin could drop to $56,200 or $51,600.
However, one X user stated that the number of bearish posts makes him believe that the "opposite is gonna happen."
Zen, a bitcoin hodler, agreed with the words "The more support resistance is tested, the weaker it becomes."
Amid Bitcoin's volatile price action, It remains to be seen whether this prediction will materialize and how it might impact the broader cryptocurrency market.
What's Next: The influence of Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga's upcoming Future of Digital Assets event on Nov. 19.
Read Next: Peter Schiff Predicts Bitcoin ETFs Will Lead To Its ‘Biggest Crash Ever’
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