Bitcoin Drops 3.8% to $102,000, Analysts Predict Further Decline

Bitcoin's price experienced a significant drop from a high of $106,000 to $102,000 on June 20, triggering a wave of sell-offs among investors. Analyst Colin has suggested that the cryptocurrency could potentially fall further to $92,800, and has outlined the potential implications if this level is reached.

In a recent post, Colin indicated that Bitcoin is likely to retest the support level of $100,800, which is the first major level of support. This prediction comes as Bitcoin broke out of a bullish pennant for the second time, with a measured target of $150,000 for this pennant. However, the recent breakdown suggests that Bitcoin's price could decline further before any potential upward movement. Colin identified the next major support levels below $100,800 as $97,600 and $92,800, stating that if Bitcoin reaches these levels, it is likely to rebound quickly.

Colin's analysis suggests that this price movement is part of the larger inverse Head-and-Shoulders pattern, which could make the right shoulder more complete and on the same level as the left shoulder. This analysis follows Colin's earlier revelation that Bitcoin has deviated from the global M2 money supply. Despite this deviation, which occurs 20% of the time, Colin believes that the Bitcoin bull market is far from over and that the cryptocurrency is primed for a rally to potentially reach the $150,000 measured target. Market expert Raoul Pal also commented that the current price action does not warrant concern, as it shows that there is no need to worry about the current price action.

Crypto analyst Titan of Crypto has also weighed in, stating that bulls need to step in now to support Bitcoin's price. He noted that Bitcoin is facing a key test after being rejected at the Fair Value Gap around $106,000 and is now retesting the lower boundary of the symmetrical triangle. Titan of Crypto warned that if the lower boundary at around $104,000 fails, the next level of support would be the previous weekly low at $102,679. If this level also fails, Bitcoin could drop further to the liquidity pocket near $100,300. At the time of writing, Bitcoin's price is trading at around $103,500, down in the last 24 hours.