Bitcoin (BTC), Plunging Bomb After Bill Passage?... "Could Drop to $53,000"

▲ USD, Bitcoin (BTC)/AI Generated Image

Even if the US cryptocurrency market structure bill passes, Bitcoin (BTC) could drop to $53,000, according to a forecast. The analysis suggests that profit-taking sales could follow, even if regulatory tailwinds lead to a short-term surge.

Tim Warren, host of the cryptocurrency podcast Investing Broz, said in an interview with the crypto-focused YouTube channel Paul Barron Network on August 2 (local time), “Whether the US cryptocurrency market structure bill passes or fails, there is room for Bitcoin to fall further.” Warren stated that Bitcoin remains within a long-term falling wedge pattern and presented $53,000 as a key downside target. He also mentioned the possibility of a drop to around $47,000 if the correction continues until December.

The outlook for the bill's passage is also wavering. At the time of filming, the probability of passage, as compiled by Polymarket, had fallen to 25%. Concerns were raised that even if Democratic votes were secured, the bill could fail if Republican defections increased. Warren believed that if the bill moved to the Senate for passage, Bitcoin could rebound to its long-term resistance level. However, he diagnosed that if leveraged long positions accumulated during the ascent, a decline accompanied by massive liquidations could follow.

Among crypto-related stocks, Warren named Robinhood (HOOD) as a more promising stock than Coinbase (COIN). He analyzed that if Robinhood breaks below the support line of its uptrend channel, it could correct to $60-$64, but if it successfully rebounds, it could aim for $133-$140. The video also introduced a $160 price target suggested by Bernstein. Warren agreed with the forecast that Robinhood's stock price would rise more strongly than Coinbase's after the passage of the US cryptocurrency market structure bill.

Ethereum (ETH) was evaluated as showing stronger technical trends than Bitcoin. He explained that although Ethereum broke above its long-term bearish trend line, it could fall back to $1,400 if not supported by trading volume. Conversely, if an increase in trading volume and a new high are confirmed, it could rise to $2,200 and then form a higher low at $1,700. Warren said, “Ethereum is not at the stage to confirm a bottom yet, but if another strong upward movement occurs, the possibility of forming a bottom increases.”

Solana (SOL) rebounded three times in that range after breaking above its long-term bearish trend line. Warren noted the trend of rising support levels, even though the resistance level has not yet been broken. Tokenization and the US cryptocurrency market structure bill were also presented as growth drivers for Solana. Warren emphasized that while technical rebound signals and a strong business foundation are appearing together, confirmation of trading volume and key support levels is necessary.

[Key Summary of the Article]

-Tim Warren predicted that Bitcoin could correct to $53,000 regardless of whether the US cryptocurrency market structure bill passes.

-An analysis suggested that Robinhood could drop to $60-$64 if it breaks below its support line, but could aim for $133-$140 if it rebounds.

-Ethereum and Solana showed stronger technical signals than Bitcoin, but it was noted that confirmation of trading volume and support levels is needed.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*