Cryptocurrency analyst Joao Wedson recently evaluated the recent drop in Bitcoin’s price and advised investors not to panic despite the current market volatility.
At the time of writing, Bitcoin is trading around $101,000, having lost 5% of its value on the day. Wedson emphasized that as long as Bitcoin doesn’t fall below $92,000, the present price movement could be considered merely sideways. However, he warned that a drop below this critical level might signal the market entering a “true downtrend.”
Wedson further explained that Bitcoin is currently in a consolidation phase, and the volatility seen in the crypto market should not be exaggerated. He pointed out that more investors are expressing concerns about market fluctuations, but noted that the total market capitalization of crypto assets still lags behind that of major tech stocks.
According to Wedson, this gap highlights that price volatility is a natural and expected aspect of the cryptocurrency market.
Additionally, Wedson observed that Bitcoin’s current daily price chart shows a near-identical mirror image of its 2022 bottom formation. He identified this similarity using a new analysis tool under development called “Alphractal’s Fractal Identifier.” Wedson suggested that historical price movements tend to repeat themselves, sometimes even in the opposite direction.
*This is not investment advice.*
https://bitcoinethereumnews.com/bitcoin/experienced-analyst-speaks-after-bitcoins-drop-ill-start-to-worry-if-the-price-falls-below-this-level/