Bitcoin prices continue to decline, dropping more than 17% from their historical high. However, 10X Research, an analytical firm, has warned in its latest report that it is still too early to buy in. They predict that Bitcoin will fall below $60,000 before any meaningful rebound occurs. The next wave of Bitcoin’s rise is expected to push it to $83,000 and $102,000.
After reaching a historical high of $73,777 on the 14th, Bitcoin has been fluctuating downwards and hit a low of $60,775 today, marking a new low since the 5th of this month. Compared to its historical high, the maximum decline is 17.63%. As of the deadline, Bitcoin is trading at $62,861, a 2.5% decrease in the past 24 hours.
Approaching the $60,000 mark has tempted many investors to buy the dip. However, 10X Research, in its latest report released on the 19th, points out that they have turned bearish over 10 days ago. The firm predicts that if Bitcoin falls below the support of $60,000, it may plunge to $52,000 to $54,000.
Although 10X Research’s prediction of Bitcoin falling to $63,000 has come true, they still believe it is too early to turn bullish again. However, at some point in the future, the firm states that they will definitely switch back to a bullish stance. According to the Bitcoin price trend simulation model released by 10X Research on the 6th, Bitcoin is expected to experience a more severe crash within 1-2 weeks. However, the model also predicts the possibility of further significant gains in the future. 10X Research will soon re-examine this analysis and pay more attention to the downside risks.
Furthermore, 10X Research believes that it is still too early to buy the dip. One key factor for the current bearish sentiment is the decline in retail trading sentiment, which can be observed from the obvious decrease in trading volume of altcoins and memes. In addition, Bitcoin spot ETF has seen net outflows for two consecutive days, which is also a bearish signal. According to SoSoValue data, after a net outflow of $154 million on the 18th, Bitcoin spot ETF saw a net outflow of $326 million on the 19th. Among them, GBTC had the largest single-day net outflow of $443 million, and its total historical net outflow reached $12.89 billion. On the 19th, the Bitcoin spot ETF with the most net inflows was IBIT from BlackRock, with a single-day net inflow of $75.23 million and a total historical net inflow of $13.04 billion. The second was FBTC from Fidelity, with a single-day net inflow of approximately $39.6 million and a total historical net inflow of $6.92 billion.
From a technical perspective, 10X Research predicts that Bitcoin will fall below $60,000 before attempting a more meaningful rebound. Based on the previous signal of a new high, it can be expected that Bitcoin will reach $83,000 and $102,000 in the future. However, for now, the focus should be on the downside targets.