Emily Walker
Since the start of the year, various predictions regarding Bitcoin’s price for 2025 have surfaced. While numerous analysts anticipate that the leading cryptocurrency will continue its upward trend from 2024, some are concerned that its peak value might have already been reached in this cycle.
A notable crypto trader recently made a stark bearish prediction for Bitcoin’s future trajectory on the social media site X. Here is a potential scenario that could lead to a significant drop in BTC’s value over the coming weeks.
Will Bitcoin Experience a 20% Drop?
Crypto analyst Ali Martinez discussed a compelling analysis related to Bitcoin’s pricing on X. He indicates that the leading cryptocurrency could face a substantial pullback to approximately $78,000.
This pessimistic forecast is grounded in the appearance of a head-and-shoulders pattern on the 4-hour price chart. This technical analysis pattern features three distinct peaks, including a taller “head” positioned between two lower “shoulders.”
Typically, this chart pattern suggests a possibility of a bearish reversal, indicating a shift from an upward trend to a downward trend. Confirmation of this reversal could occur if the price falls below the neckline, which connects the swing lows between the head.
In the recent chart, Bitcoin’s price made contact with the neckline near the $92,000 mark before recovering to above $98,000. However, it seems the price may be on a trajectory back toward the neckline at $92,000.
Martinez explained that if BTC’s price returns, successfully breaches, and closes below the neckline, the cryptocurrency could drop to around $78,000—a decline of nearly 20% from its current valuation.
Conversely, if the price closes strongly above $100,000, this would nullify the current bearish outlook, allowing the market leader to potentially continue its bullish trend, reaching new heights.
Current Status of Bitcoin Price
As it stands, Bitcoin’s price is just under $98,000, reflecting a slight drop of 0.8% in the last 24 hours. According to CoinGecko, the leading cryptocurrency has seen an increase of nearly 4% over the past week.