Bitcoin Plunges 21%: Expert Sees Rebound Ahead

Bitcoin (BTC) has experienced a significant decline in the past week, dropping by more than 21% from its local peak of $99,495 to $78,219 on February 28. This sharp decrease has left traders and investors uncertain about the cryptocurrency's future. However, a prominent trading expert, CrypNuevo, believes that this correction is part of a normal market cycle and expects a rebound in the near future.

CrypNuevo, a well-known smart trader, has been closely monitoring Bitcoin's price action throughout the week. Although the expert missed a forecasted support level at $91,764, they quickly adjusted their analysis to reflect the new market reality. In a recent update, CrypNuevo identified the 50-week exponential moving average (1W50EMA) as the leading indicator to set Bitcoin's target. This level is currently around $76,200, which could be hit precisely or with the price hovering around this level.

In previous analyses, CrypNuevo had also set a bottom target between $77,000 and $78,000. Therefore, the range between $76,000 and $78,000 is considered a good candidate for a bounce. However, the trading expert does not expect this rebound to occur before the end of February, as they predict Bitcoin will close the month with a red candle and new lows. The first days of March could also see a deviation below the 1W50EMA before setting the stage for a recovery.

Other technical analysts have shared their insights on Bitcoin's future, with some believing the leading cryptocurrency could go even lower, down to the previous all-time high of $69,000. Others agree on a retest at CrypNuevo's targets, while bullish traders believe the bounce up has already started. As of now, Bitcoin is trading at $81,590, below the trading expert's targets, which fuels optimism for the bulls. However, it has accumulated 20.05% losses in the last 30 days, indicating the challenges ahead, even if the market turns favorably.