Coinpedia, citing analysts, reports that after Bitcoin fell below $60,000, the market is again comparing this correction to the 2022 bear market. The article argues that the more pressing concern now is the continued weakening of the rebound, indicating declining buying support.
This trend is being compared to 2022.
The article mentions that after Bitcoin peaked near the high of the previous cycle in 2022, it experienced a strong rebound, which led the market to believe that the correction was over. However, the price continued to decline afterward, eventually falling to about $16,000.
This time, some traders believe a similar scenario has unfolded again. Bitcoin previously peaked around $126,000, rebounded to around $80,000 earlier this year, then lost momentum and broke through several key support levels, recently falling back below $60,000.
The article also mentions that Bitcoin is currently down about 10.5% from its previous cycle high. During the 2022 bear market, this drop widened to about 22% before bottoming out. This is why some analysts believe the correction is not yet over.
The rebound around $60,000 has weakened.
Analysts at Rekt Capital say Bitcoin's price response in the $60,000 area is weakening. The article notes that the same area saw a rebound of over 100% in 2024, but the most recent rebound was only about 38%.
In his view, the repeated weakening of rebounds indicates that buyers' willingness to enter the market is not as strong as in previous rounds. The next few weeks will be a crucial window for determining the market direction.
- If the price holds above $59,000, a technical rebound is possible.
- If the price falls below this level, the next target could be $54,000.
Pressure remains for the next six months
The article states that traders generally expect market pressure to persist in June and July. High interest rates, thin summer trading, and ongoing liquidations are considered the main factors suppressing prices.
In a bearish scenario, Bitcoin could fall to the $47,000 to $55,000 range by late summer, followed by a more significant sell-off. Some forecasts even place a potential bottom around $42,000, with a further recovery expected by year-end.
The article argues that if the market does indeed follow a path similar to that of 2022, many investors may only be able to confirm the full pattern of this round of decline when they look back.
