Bitcoin has been on a rollercoaster ride lately, and its recent dip has investors scratching their heads. What’s causing this sudden decline? Experts like Willy Woo believe they have the answer, and it involves a combination of risky bets and a post-halving shakeup among Bitcoin miners.
Is something more fundamental at play?
Dive deeper to find out what Woo says and why a potential rebound could be on the horizon.
Bitcoin’s fall was driven by speculators who kept opening new long positions, according to Willy Woo. As per his opinion, this caused a cascading long squeeze, pushing Bitcoin below $60,000.
Woo also pointed out that Bitcoin miners have added to the downward pressure on the price. After the recent halving, which cut the block reward to 3.125 BTC, Bitcoin miners have seen their revenue drop. To cover their costs, they have been selling more Bitcoin than before, influencing the market dynamics further.
As of June 27, 2024, Bitcoin’s price is $60,720. It has decreased by 1.6% in the past 24 hours, 7.5% over the past week, and 10.8% in the past 30 days. The peak price this month was $71,103 on June 5. Since then, Bitcoin’s price has been weakening. At the start of the year, on January 1, Bitcoin was priced at around $44,193. It peaked at over $73,000 on March 13, marking the highest point of the year.
The most significant price momentum of the year occurred between January 23 and March 13, when Bitcoin surged from under $40,000 to over $73,000. This month, a sharp decline was noted from June 6 to June 24, when the price dropped from over $70,000 to below $60,500.
Bitcoin’s halving on April 19, 2024, saw it close at $63,824. Despite initial gains, prices quickly retreated to $58,251 by May 1, only to briefly recover above $71,000 by May 20 before entering a new downward phase in early June.
Despite challenges, Willy Woo remains cautiously optimistic. He views the current phase as a necessary adjustment period, particularly for weaker miners. Before a sustainable rally can occur, Woo suggests the market needs to manage excessive futures open interest, potentially targeting a critical liquidation level near $54,000.
In summary, Bitcoin’s recent price movements reflect a mix of speculative trading and miner adjustments post-halving. While the outlook remains cautious, analysts like Willy Woo foresee potential for recovery, contingent upon Bitcoin’s ability to navigate current challenges and meet market conditions for sustained growth.
Read Also: Custodia Bank Fights FED Denial of Master Account in Appeals Court
Do you agree with Woo’s analysis? Share your thoughts.
The US crypto regulation has changed dramatically in 2025, with the Trump administration adopting a…
Story Highlights The live price of the Algorand is Price predictions suggest ALGO could reach…
Story Highlights The live price of the Avalanche is . Price predictions for 2025 suggest…
Pepe Coin’s 2021 meteoric rise showed how quickly a meme token can explode. Today, traders…
Cardano's price has dropped 1.88% to $0.7908 but is still a top long-term crypto bet,…
Shiba Inu coin's recent market performance has shown signs that the meme coin might be…