Elite Crypto Trader Predicts Bitcoin Crash 'Is Not Over' – Is $45K Next?

The crypto market bloodshed continued this with Bitcoin (BTC) falling all the way to below $53k last night before bouncing off to the current levels of above $54k.

Cryptocurrency prices continued to fall on Monday, with Bitcoin (CRYPTO: BTC) trading lower but still above the key support level of $50,000.

The world’s largest cryptocurrency fell as low as $52,800 overnight before recovering to trade at around $54,233 at the last check. Bitcoin is now down 8% since the start of September.

However, despite the recent decline, one expert crypto analyst is predicting that the recent price corrections for Bitcoin are far from over — and is warning that BTC could still drop as low as $45,000 in the coming days.

What Happened: Crypto analyst Altcoin Sherpa, who has over 222,500 followers on Twitter, shared his outlook for Bitcoin in a recent tweet.

"I think there is a good chance this continues to dip. Maybe even $45k. Long term still looks bullish, but short term is up for grabs."

The analyst pointed to $45,000 as a key level to watch for Bitcoin, adding that this level is "an untapped area of liquidity" and a compelling support zone, especially as it falls within the 0.50 Fibonacci retracement from the upward trend since 2022.

A technical chart shared by Sherpa shows that Bitcoin has already broken through the $51,412 level, a crucial 0.382 Fibonacci zone, which has been tested multiple times.

"The 51k areas have already been tapped several times," Sherpa wrote, suggesting that the next major support level is around $45,000.

Moreover, the analyst noted that Bitcoin’s price spent around two months consolidating at the $45,000 level, making it a stronger area of support compared to the weaker $50,000 zone.

"45k had 2 months of consolidation vs the weaker 50k area," Sherpa added.

While Altcoin Sherpa doesn’t foresee a straight drop to $45,000, he predicts several short-term bounces at $51,000 and $49,000.

"I think we will see some short term bounces like 51k and 49k, but those levels have been tapped and are losing strength," the analyst wrote.

Why It Matters: Bitcoin is preparing for an eventful final quarter, and institutional investors are keeping a close eye on the price movements.

The recent price decline and market sell-offs could be linked to the broader market weakness and anticipation of upcoming Federal Reserve interest rate hikes.

Institutions are known to adjust their strategies based on the macroeconomic environment and outlook for inflation, interest rates and upcoming elections.

While Altcoin Sherpa’s analysis suggests a potential decline to $45,000, it’s crucial to note that crypto markets are inherently volatile and can experience unexpected shifts.

As always, investors are advised to conduct thorough research, exercise caution and trade responsibly, especially in volatile markets like cryptocurrency.

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