Bitcoin Bottom Not In Yet? Analyst Sees Higher Odds Of Drop Below $61K
Bitcoin’s derivatives market is still recovering from last October’s liquidation shock, when about 71,000 BTC in open interest was wiped out. Open interest remains more than 24,000 BTC below pre-shakeout levels, suggesting traders are still cautious. Bitcoin ended May at $73,560, down 3.4%, and some analysts think more downside is possible. PlanB argues the market has not yet reached a true cycle bottom because a relatively large share of Bitcoin supply is still in profit, unlike past bear-market capitulations. He sees a greater than 50% chance of lower prices and points to two possible support zones: the 200-week moving average near $61,000 and the realized price near $53,000. Trader Ted Pillow says a daily close below $70,000 could trigger another wave of selling. Overall, the market appears to be waiting for a deeper flush before a durable recovery can begin.
