Alan Santana, a cryptocurrency analyst on TradingView, has forecasted that the price of Bitcoin may potentially see a significant drop to fresh lows around $35,720, due to weak buying activity. The analyst has declared that the market’s current condition is bearish, pointing out possible manipulation by whale investors.
Bitcoin Price May Plummet To $35,720
Santana noted that Bitcoin has experienced 75 days of bullish trends but has failed to achieve anticipated new high price levels, presently trading below $70,000. Although the cryptocurrency did reach an All-Time High (ATH) in March, surpassing $73,000, Santana concluded that the overall market has shifted to a relatively bearish stance.
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He revealed that much of the Bitcoin price movement from August 5 to the present is part of an inverted correction pattern, indicating that prices have been rising yet failing to achieve new peaks.
Santana also stated that the ongoing Bitcoin price actions confirm that there is a lack of bullish momentum. He attributed this absence of momentum to diminished whale activities, emphasizing that there are currently no buyers or any buying pressure at this market level.
Given these bearish circumstances, Santana has forecasted that Bitcoin could potentially crash to $35,720, which would represent a staggering 46.68% drop to new lows. This scenario would effectively halve Bitcoin’s price, inciting panic and fear among retail and whale investors.
In contrast to Santana’s bearish outlook, the price of Bitcoin has risen by 5.56% and is trading at $68,203, according to CoinMarketCap. The cryptocurrency is steadily climbing towards the $70,000 mark, buoyed by positive market sentiment and the historically bullish fourth quarter.
Despite Santana’s steadfast bearish predictions for Bitcoin due to limited buying strength, he has faced significant backlash from various members of the crypto community. One member criticized Santana’s pessimistic Bitcoin forecast, arguing that there were flaws in his reasoning. Others accused the analyst of attempting to manipulate investors by referencing a Bitcoin chart from a Blofin exchange, known for its lower transaction activity.
Bitcoin Market Manipulation And Bearish Sentiment
Despite receiving criticism from crypto enthusiasts, Santana maintains that market manipulation has contributed to the current bearish price movements in Bitcoin. The analyst notes that Bitcoin’s price can be artificially influenced by large holders, referred to as Whales.
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He noted that these whales can drive the price of Bitcoin up in hopes that retail investors will enter the market and buy, thus sparking a bullish trend. According to Santana, if there are no authentic Bitcoin buyers, the alleged manipulation may fail, leading to losses for those manipulating the market.
Santana has observed that retail investors are no longer easily swayed into purchasing Bitcoin at peak prices, now exhibiting caution due to past cycles of manipulation and hype. He also emphasized that buyers are less influenced by exaggerated forecasts of substantial future profits by analysts claiming that Bitcoin could reach $3,000,000.
Featured image created with Dall.E, chart from Tradingview.com
