Crypto pundit Vivek has revealed that Bitcoin has entered a buy zone that led to parabolic rallies in the previous bull cycles. This comes as analysts predict that BTC risks dropping to the psychological $70,000 level, with the leading crypto showing weakness on lower timeframes.
Bitcoin Enters Historic Buy Zone That Led To Parabolic Rallies
In an X post, Vivek stated that Bitcoin has entered the best buy zone of this cycle, similar to the buy zones in the 2018 and 2022 bear cycles, just before BTC rallied 1,700% and 660%, respectively. The pundit declared that a parabolic rally is next, seeing as the same setup has appeared again.
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Bitcoin has entered this buy zone following its latest decline to the lower $70,000 range as the U.S. and Iran have yet to reach a peace deal. Crypto analyst Altcoin Sherpa stated that BTC isn’t giving him much confidence on the lower timeframes at this level. He added that he was hoping for a bounce, but the leading crypto is still likely to drop to $70,000 or even lower next.
Bitcoin notably surged above $73,000 yesterday following President Donald Trump’s statement that the naval blockade at the Strait of Hormuz will be lifted. BTC also rose as the president said he was about to decide on the draft agreement between the U.S. and Iran. However, Trump failed to announce his final decision on the agreement. Iran has also confirmed that a draft agreement exists, but it has yet to ratify it. A potential deal between the U.S. and Iran is bullish for BTC and the broader crypto market as it will ease the inflationary pressures caused by the war.
Analyst Reiterates Bear Market Thesis
In an X post, crypto analyst Colin reiterated his bear market thesis for Bitcoin, noting that BTC has always dropped 77% or greater from peak to bear market bottom. He noted that a 70% drop would mean BTC could drop to $38,000 from its October high of $126,000. The analyst added that any bear market floor price above $40,000 would be quite bullish, as it would be better than prior bear market floors.
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In another X post, he opined that the delayed impact of extremely low oil reserves may be what drags the Bitcoin price down later on. The analyst also predicted that the next S&P 500 local top is marked by an oil price breakout. Colin noted that it takes time for the effects of the U.S.-Iran war to trickle down and be felt by the everyday person.
At the time of writing, the Bitcoin price is trading at around $73,300, down in the last 24 hours, according to data from CoinMarketCap.
Featured image from Pixabay, chart from Tradingview.com