Bitcoin Bears Eye Sub-$60K Drop as Analysts Urge Caution Amid Volatile Market

Amid Bitcoin's recent rally, bearish traders are becoming increasingly excited at the prospect of a significant price correction. With Bitcoin currently hovering around $67,250, some analysts suggest that a drop of roughly 12% could be on the horizon, potentially confirming a bearish outlook.

Crypto analyst Matthew Hyland highlighted this in an Oct. 17 post on X, stating that Bitcoin bears “can only get giddy if BTC breaks below $58.8k.” At the time of his comment, Bitcoin was trading at $67,248, marking a 10.88% increase over the past week, according to Trading View.

Hyland emphasized that any pullback above this level would simply be “noise.”

The last time Bitcoin fell to this range was on Sept. 17, briefly touching $58,192 before bouncing back to $65,000 by Sept. 27.

Bitcoin Price Pullbacks Are Inevitable, Say Analysts

On the same day, Glassnode lead analyst James Check advised Bitcoin holders to remain patient and avoid emotional trading. He pointed out that price pullbacks "will happen" as Bitcoin continues to experience high volatility, driven in part by the increased use of leverage in the market. High leverage positions often lead to sudden shakeouts, Check warned, especially with Bitcoin futures Open Interest (OI) reaching an all-time high.

As of Oct. 15, the total number of Bitcoin futures contracts hit 566,270, the highest level since January 2023. This surge in futures activity comes as market sentiment continues to hover in a “Greed” state, according to the Crypto Fear and Greed Index. The index recorded a score of 71 on Oct. 17, a sharp rise from its score of 39 on Oct. 10, reflecting the growing optimism in the market.

Mixed Opinions on Whether a BTC Price Correction Is Imminent

While some analysts are preparing for a potential price correction, not everyone shares this outlook. Pseudonymous crypto trader Wolf suggested that a minor pullback could occur, but he expects Bitcoin to remain above the $63,200 to $64,400 range before making another move toward breaking through key resistance levels.

Meanwhile, institutional interest in Bitcoin continues to rise. On Oct. 17, total flows into Bitcoin spot exchange-traded funds (ETFs) surpassed $20 billion, following four consecutive days of inflows into U.S.-based products. Notably, the world's largest asset manager, BlackRock, recorded $393.4 million in inflows on Oct. 16, its largest single-day increase since July.

Despite the uncertainty surrounding Bitcoin's short-term price movement, long-term demand for the asset remains strong as institutional investors continue to pour capital into Bitcoin ETFs, indicating a bullish sentiment in the market.