Analysts warn of potential BTC drop to $85,600 amid failed resistance at $100,000.
Bitcoin Drops Below $95,000 Amid Bearish Signals
Bitcoin (BTC/USD) continues its downward trend, slipping to $94,397 as of writing after failing to breach the $100,000 resistance. The flagship cryptocurrency has seen a 2.8% drop in the past 24 hours, signaling a cooling rally.
Analyst Flags Potential Correction to $85,000
On November 23, chart analyst Ali Martinez issued a warning based on Bitcoin’s 12-hour TD Sequential indicator. The bearish signal suggests Bitcoin could correct to $91,583 initially, with a worst-case drop to $85,610 if selling pressure escalates.
Altcoins Suffer Alongside Bitcoin
The broader crypto market also retreated, with major altcoins like Ripple (XRP) and Dogecoin (DOGE) down over 5%. Solana (SOL), Ether (ETH), Cardano (ADA), and Binance Coin (BNB) experienced declines ranging from 2% to 5%, contributing to a 2.4% reduction in overall crypto market capitalization.
Bitcoin has tracked global M2 with a ~70-day lag since September 2023. I don’t want to alarm anyone, but if it continues, bitcoin could be in for a 20-25% correction. Global M2 in ⚪️ Bitcoin in 🟠
Futures Liquidations Top $400 Million
The market downturn caused significant liquidations in crypto-tracked futures. According to Coinglass data, over $400 million was wiped out, including $283 million in long positions and $156 million in short positions. Smaller altcoins and mid-cap futures faced the brunt, reflecting heightened risk-taking among traders.
Market Sentiment Deteriorates
The correction coincides with growing pessimism in the cryptocurrency industry as Bitcoin struggles to maintain its upward momentum. Analysts highlight the psychological importance of the $100,000 resistance level, which remains unbroken despite the recent rally.
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