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\n\t\t\t\t\t\t\t\t\tA popular analyst has flagged Bitcoin’s rebound last week as a bull trap and warned that a deeper correction could follow amid broader market weakness.\t\t\t\t\t\t\t\t<\/p>\n<\/p><\/div>\n
Escalating conflict in the Middle East is weighing on global financial markets. Bitcoin is also facing renewed concerns of a potential historic downturn, and market participants appear to be bracing for a deeper correction across risk assets.<\/p>\n
The latest warning comes as the asset continues to show signs of weakness after having declined over the weekend and slipping below $68,000 on Monday.<\/p>\n
Popular analyst Doctor Profit predicted<\/a> that Bitcoin could suffer a crash worse than that of the March 12-13, 2020 \u2018Black Thursday,\u2019 when the crypto asset plunged<\/a> by more than 50% in a single day from around $8,000 to nearly $3,750 amid a broader global market sell-off triggered by COVID-19 panic.<\/p>\n Ongoing price action also reflects similar pressure, as Bitcoin trades more than 46% below its all-time high recorded last year.<\/p>\n \u201cPrepare for a historic CRASH. Much worse than COVID crash. Stocks, BTC, all of assets. You have been warned\u201d<\/p>\n<\/blockquote>\n The forecast comes a few hours after his Sunday report, wherein Doctor Profit reiterated<\/a> his previous stance that BTC\u2019s price action remains stuck in a broader bearish trajectory.<\/p>\n He explained<\/a> that the asset has been consolidating between the range of $57,000 and $87,000 after its earlier decline from the $115,000-$125,000 region to $60,000. Within this structure, the recent move to $76,000 followed by a sharp drop below $68,000 was identified as a bullish trap ahead of further downside. The analyst flagged the $79,000-$84,000 zone as a major resistance and liquidity area where additional short positions could be deployed.<\/p>\n Currently, Bitcoin lacks clear directional strength in the near term, which has contributed to ongoing sideways movement, but the broader structure continues to point toward another leg lower, which could see a move back toward the $57,000-$60,000 range. Short-term upward movements are seen as liquidity-driven attempts to push prices higher before continuation to the downside.<\/p>\n While he did not rule out temporary upward price movements, these are treated as opportunities to increase bearish exposure rather than signs of trend reversal.<\/p>\n Doctor Profit said that macro conditions such as delayed expectations for interest rate cuts, rising inflation indicators, and increasing liquidity stress are crucial factors driving the risk-off environment.<\/p>\n LIMITED OFFER for CryptoPotato readers at Bybit: Use this link<\/a> to register and open a $500 FREE position on any coin!<\/b><\/p>\n<\/div>\n<\/div>\n\n
Deeper Trouble Ahead<\/h2>\n
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