Although Bitcoin has since recovered above $60,000, the recent crash below the level over the weekend has led many crypto traders to believe that there’s going to be another crash to the final bottom. According to crypto analyst Winter Soldier, 64% of orders on prediction markets are now betting on BTC dropping below $50,000 this year.
64% Of Orders Are Betting Bitcoin Breaks Below $50,000Bitcoin dropped about 78% in the last bear cycle before beginning its next major expansion. This cycle could be shallower because of ETFs and institutional participation, but still, $50,000 should not be assumed automatically as the floor simply because everyone is watching it.
The Chart Says BTC Is Cheap, But Not Safe YetThe rainbow chart added to the analysis by Winter Soldier shows Bitcoin now sitting in the “BUY!” band, and the price has spent 24 days in that band compared to an average of 18 days. That makes Bitcoin look discounted relative to its long-term logarithmic trend.
The chart also shows only a 5.5% drop to the lower band and a 27.2% move to the upper band, which is another sign that BTC is closer to the lower end of the historical value range than the upper end.
