Bitcoin Could Only Bottom In The $40,000s, Trader Warns

Crypto trader Altcoin Sherpa shared his predictions for Bitcoin BTC/USD, anticipating a bottom in the $40,000s.

What Happened: Sherpa deems Bitcoin finding its bottom at its current level unlikely and thinks a scenario in the $40,000s is more probable and would involve more market volatility, liquidations and pain for investors.

The trader also expects prices to range for one to four months, during which temporary altcoin movements will create a sense of euphoria among investors. However, he warns that these movements will not be as significant as those seen in 2021 when altcoins like Axie Infinity AXS/USD, The Sandbox SAND/USD and Decentraland MANA/USD surged.

Altcoin Sherpa predicts a period of consolidation and relative quiet, with Bitcoin’s dominance continuing to rise overall. He anticipates a price surge for Bitcoin towards the end of the year, followed by altcoins performing well at the start of 2025.

Also Read: Bitwise CIO Matt Hougan: Bitcoin Sell-Off Is A Buying Opportunity

Why It Matters: Altcoin Sherpa’s predictions provide valuable insights for cryptocurrency investors. His forecast of a Bitcoin bottom suggests potential buying opportunities for investors.

The predicted altcoin movements could also offer profitable trading opportunities, although they are expected to be less significant than those seen in 2021.

His warning about potential market risks, including war, macroeconomic factors, election events and unforeseen situations, underscores the importance of risk management in cryptocurrency investing.

Sherpa’s advise to protect one’s bankroll and stay prepared for all scenarios is a reminder of the volatile nature of the cryptocurrency market.

What’s Next: The influence of Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.

Read Next:

• Trump Says Government Shouldn’t Be Selling Bitcoin: ‘Crypto Is Like AI, If We Don’t Build It, China Will’

This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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