However, things could turn out badly for Bitcoin if it falls below the $ 50,000 level.
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There is no need to worry about the recent drop in Bitcoin below $ 60,000, according to Matt Maley, chief market strategist at Miller Tabak.
The market analyst recently told Yahoo Finance that the biggest cryptocurrency could still fall “a lot” without suffering any real damage from a technical point of view.
He estimates that Bitcoin should dip below $ 50,000 to cause serious damage. In such a case, the king of crypto would break its trendline which goes back to the July lows:
It can still come down quite a bit without having really significant technical damage.
Bitcoin hit a new high of $ 69,000 last Wednesday, rising into overbought territory.
Even some longtime bulls like Morgan Creek’s Mark Yusko were under withdrawal watch.
While Maley fears that a noticeable drop in the liquidity supply could cause “some problems” for Bitcoin and Ether, he remains optimistic about the long term.
He adds that there are many stocks that are “much more vulnerable” than Bitcoin.