Crypto Market Today: Bitcoin Drops 10% to $83K, Analyst Predicts More Losses

Just a day after Bitcoin surged on President Donald Trump’s announcement of the US Crypto Strategic Reserves, the market took a sharp turn. Bitcoin plunged 10%, wiping out its gains and dropping to $83,000 in a sudden reversal. This unexpected drop has traders on edge.

Crypto analyst Egrag Crypto believes the worst might not be over yet. He warns that Bitcoin could fall even further, possibly hitting $73,000 by April 1 before making its next big move.

So, what’s driving this downturn, and where is Bitcoin headed next? Let’s break it down.

Key Levels to Watch

Egrag Crypto points out that Bitcoin is forming a Bearish Engulfing Candle on the three-day chart, a pattern that often signals further declines. This bearish outlook was confirmed when Bitcoin fell below $90,000, breaking a key support level.

If the downtrend continues, Bitcoin could first test $80,500 before potentially dropping to $73,000—a level near the blue channel, which could decide Bitcoin’s next big move.

Market Indicators Give Mixed Signals

Technical indicators also point to further downside. The Moving Average Convergence Divergence (MACD) remains bearish, suggesting that Bitcoin may face more selling pressure before any recovery.

However, the Relative Strength Index (RSI) is nearing oversold levels. If buyers step in, Bitcoin could see a rebound from these lower levels.

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Is This the Perfect Buying Opportunity?

Bitcoin has often experienced short-term pullbacks before continuing its uptrend. A drop to $73,000 might not mean a bearish shift but could act as a final accumulation phase before the next rally.

Egrag Crypto highlights that the blue channel is key to determining Bitcoin’s next move. If Bitcoin stays above this level, it could set the stage for the next phase of the bull run.

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