Bitcoin Could Drop Below 2022 Lows – Accumulation Time Is Getting Near

Reports indicate an impending drop in the price of Bitcoin below its current level in 2022. Justin Bennett, a crypto analyst, has issued a warning to his followers on social media platform X, asserting that Bitcoin could plunge by almost 50%.

With a chart indicating a departure from its ascending channel maintained for approximately a decade, Bitcoin may revisit a level in the lower teens last reached in 2020.

The support level of $14,000, which acted as a strong resistance zone between 2018 and 2020, will serve as a barrier to prevent the plunge from going too far.

In March, he shared a BTC chart displaying macro resistance between $29,000 and $33,000. The recent swing high was $31,800 and it’s unclear what will happen next.

Bennett suggests that a Bitcoin crash may be caused by the S&P 500 stock index dropping by double-digit percentages. If the SPX corrects by over 25% it could be a trigger for this. It will be intriguing to observe if August ends as a bearish engulfing month.

In a recent prediction, Bennett warned that if the S&P 500 stock index fails to exceed the 4,610 points achieved in July, it could experience a severe dip. This level serves as the SPX’s lower high compared to the 4,820 points achieved in January 2022.

Bennett suggested that a 27% drop in SPX is highly likely if it is confirmed as a lower high. Other indices and significant players such as Apple (NASDAQ: AAPL) have already experienced significant breakdowns, so it’s not impossible.

Should this occur, the crypto market could experience significant damage.

In other recent news, a crypto analyst with a large following is analyzing Ethereum (ETH) and Bitcoin (BTC) and identifying altcoins that he believes could perform better in the current market slump.

Michaël van de Poppe, a crypto trader, suggests to his 663,900 followers on X social media platform that ETH’s recent price drop may be linked to BTC’s upcoming halving event, based on historical patterns.