Bitcoin (BTC) bulls have successfully defended the $30,000 level in the past few days but the failure to achieve a strong rebound has some traders worried that the price will eventually dip to new lows.
In a series of tweets, Ecoinometrics said that the current correction “looks very similar to 2013” when Bitcoin took 197 days to rise to a new all-time high and a bottom formed after a 69% correction from the all-time high.
If history repeats itself, then traders may need to be patient because the current correction has only been in play for 95 days. At $30,000, Bitcoin has just dropped 54% from its all-time high, and a 69% correction could sink it down to $20,000.
Crypto market data daily view. Source: Coin360
In a new report, Delphi Digital highlighted that trading activity had collapsed with spot exchange volumes having fallen more than 60% from the highs in May. The derivatives market has also seen an exodus of leverage