Bitcoin Exploring Downside Potential: $92K Dip Anticipated by Analysts
As sellers test areas around $95K, Bitcoin is trading in deeper zones. Bitcoin recently touched $94K, which is a zone that has some indecision as buyers are staying passive. The Fear and Greed Index pressed new lows and very short term sentiment is very muted.
Caution is the name of the game as volatility picks up and a Fed rate cut is less expected. Analysts are focused on how BTC behaves around the lower range as this is a crucial zone with helped built liquidity and technicals yielding a pivotal zone.
Major Analysts Able to Anticipate Sweep into $92K
According to Ted, Bitcoin still has some room to fall into the $92K CME gap, and is a pivotal zone that tends to bring an attraction in the middle of the market indecision at $93K to $95K. Right now, BTC is trading around $95K and buyers are sitting at the market.
$98K, which Ted marks as the “major reclaim zone,” would confirm some more short term strength. Ted views a drop to $92K in the market as more operational as some liquidity can be easily swept, which would give space for a more significant response from the market.
Continuing this line of thought, Hardy draws your attention to the levels of 91.9K and 92.5K and calls this a gap. To him, these levels serve as “a magnet” as traders, particularly whales, would gravitate towards this level with liquid orders to make profitable trades.
Because BTC is trading slightly above this gap, a liquidating sweep is likely to happen where BTC trades down to $92K and rapidly reverses. This is likely the liquidity grab the market is now awaiting Based on the consensus in the market, this would complete the reach of the current market reset.
Blending of Several Indicators Increases and $93K Support
Further strengthening the $93K to $94K focus is the strengthening of several employee structures. Bitcoin is now at the low boundary of a descending channel where is has held support, successfully defended it and is now in the process of doing so again.
This is also the level of the fifth wave of the Elliott wave impulse where prolonged down selling tend to tip exhaustion. Add in the already mentioned gap at $91.90K to $92.5K, the equilibrium of the construct suggests that a sweep of liquidity would be rounding off a potential shift of trend.
We also have the Relative Strength Index on the brink of being oversold. Yet another reason that a trading gap near the support level is the likely point. For these multiple reasons in conjunction with the oversold state of the Relative Strength Index, the coinciding region of $91.9K and $94K lends itself to the likelihood of a recovery.
Conclusion
Experts predict Bitcoin will test $91.9K–$93K which is where structural price points, liquidity, and momentum all come together, and where Bitcoin has difficulty breaking with its price. If Bitcoin can successfully break this zone, it will likely complete the last leg of its current move and enter into a more fully fledged recovery.
