The price of bitcoin has experienced some instability in recent hours, falling almost 3%. This negative price action brings more attention to the largest digital asset, especially now that the US elections are quickly approaching. While many analysts are now skeptical about bitcoin's immediate moves, trader Justin Bennett has already issued a warning about the asset's future.
bitcoin Breaks Above Crucial $69,000 Support Zone
Inx.com/JustinBennettFX/status/1852469691731829162″ target=”_blank”> an x post on November 1Bennet shared an analysis of the btc market, proclaiming the drop below $70,000 as a worrying development. Notably, the leading cryptocurrency had risen more than 23% in the past three weeks to briefly trade above $73,000 before experiencing a pullback to around $69,000 on Friday. Interestingly, Bennet stated that $69,000 represented a critical support zone for bitcoin. He emphasized the importance of the token's value remaining above this price level, describing it as the “last line of defense” for market bulls.
In the last few hours, bitcoin has fallen below $69,000, settling at around $67,900. According to Bennet's prediction, bitcoin could now fall to $65,000, where its next major resistance lies. Importantly, such a decline will indicate that the digital asset has not yet broken out of a consolidation range that spans the past eight months.
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In terms of future price gains, Bennet has stated his expectations that bitcoin will eventually surpass its all-time high (ATH) at $73,750, although he remains unsure how low the asset will trade before achieving this feat.
Since hitting its ATH in March, bitcoin has only produced one price movement within a range between $55,000 and $72,000, even despite positive market indicators such as Fed rate cuts and significantly high inflows into the bitcoin ETF Spot market. However, a traditionally bullish fourth quarter, the potential for a sustained rise in ETF inflows, and the upcoming US election indicate a possible imminent price breakout for the cryptocurrency market leader.
bitcoin sentiment is bullish as US elections approach
Despite the recent price drop, bitcoin/” target=”_blank”>CoinMarketCap data shows that overall market sentiment on bitcoin remains very optimistic ahead of the US general election. Historically, the inaugural cryptocurrency has x.com/Ashcryptoreal/status/1852614944602128395″ target=”_blank”>always experienced a decline in the days leading up to the election with price drops of 10.2% in 2016, 6.1% in 2020 and, most recently, 6.3% in 2024. While there is still the possibility of further price losses before the D-day on November 5, investors probably should not flinch as the price of bitcoin has always gone parabolic after the election.
At the time of writing, the cryptocurrency market leader continues to trade around $68,175 following a 2.52% loss in the past day. However, the daily trading volume has decreased by 53.91% and is valued at $21.76 billion.
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