The Bitcoin price continues to trade sideways as macroeconomic uncertainties have left investors undecided about their next moves. Crypto analyst Michael van de Poppe has provided insights into Bitcoin’s price trajectory, suggesting the possibility of a drop to as low as $48,000. Van de Poppe mentioned in an X (formerly Twitter) post that Bitcoin could break below $56,000 and drop to a price target of $48,000 if the Consumer Price Index (CPI) inflation data comes out unfavorably. He added that with Bitcoin currently above $56,000, the first resistance level it needs to break is between $60,000 and $61,000. A breakout would bring Bitcoin closer to its current all-time high (ATH) at $73,000.
The CPI inflation data released on August 14 reported a 0.2% monthly increase in July and an annual rise of 2.9%, which met expectations. This data was neither bullish nor bearish for the market, and as a result, Bitcoin remained steady. However, the data indicated that inflation is slowing and suggested that a potential interest rate cut in September could be possible.
Despite the CPI data not being particularly negative, Van de Poppe’s prediction of Bitcoin dropping to as low as $48,000 remains plausible, as recent price actions have appeared more bearish. Alex Kuptsikevich, senior market analyst at FxPro, recently stated that Bitcoin is more likely to fall by $5,000 rather than rise by the same amount. A $5,000 drop would put Bitcoin below the $56,000 resistance level identified by Van de Poppe, bringing $48,000 into view. Crypto analyst Altcoin Sherpa also mentioned that Bitcoin could fall into the $40,000 range if it fails to surpass its current price level but noted that a successful breakout could propel Bitcoin to $70,000.
Amidst Bitcoin’s undecided price movements, crypto analyst Mikybull Crypto assured that a “strong and massive rally” is imminent, highlighting that the global liquidity index has broken out of a 2-year resistance. He emphasized Bitcoin’s strong correlation with the global liquidity index. The analyst, who previously asserted that Bitcoin had bottomed out, recently projected that Bitcoin’s next targets during its wave five expansion would be $95,000 and then $142,000.
At the time of writing, Bitcoin is trading at around $58,400, marking a decrease of over 4% in the last 24 hours, according to data from CoinMarketCap.
