Michael van de Poppe predicts bitcoin will fall to $ 107,000

Major cryptocurrencies fell sharply on Thursday amid strong macroeconomic data from the United States, which lowered expectations for an imminent interest rate cut by the Federal Reserve. Bitcoin BTC $108,686.00 Mezo Wrapped BTC -1.61% Market capitalization $38.49 million VOL. 24 hours $2.13 billion fell by 3.1% to $ 109,768, Ethereum ETH $3,961.24 Bridged Ether (StarkGate) 0.16% Market capitalization $92.56 million VOL. 24 hours $2.89 billion - by 4.4% to $ 3,941, XRP XRP $2.76 XRP -2.02% Market capitalization $164.89 billion VOL. 24 hours $0.55 billion - by 4.8% to $ 2.77, Dogecoin DOGE $0.23 Binance-Peg Dogecoin -0.23% Market capitalization $0.59 billion VOL. 24 hours $0.45 billion - by 5.3% to $ 0.2271, and Solana SOL $198.39 Binance-Peg SOL -0.72% Market capitalization $0.22 billion VOL. 24 hours $1.34 billion lost 6.6%, dropping to $ 196.94.

Bitcoin fell below $ 109,000, while its trading volume increased by 55% over the day, indicating significant pressure from sellers. Ethereum dropped below $ 4,000 for the first time in six weeks, with trading volumes doubling. In total, almost $ 1.2 billion in positions were liquidated from the market in 24 hours, of which $ 1.08 billion were longs.

Against this backdrop, the Fear and Greed Index for the crypto market recorded an increase in negative sentiment. Nevertheless, some coins grew: Plasma (XPL) added almost 54%, Concordium (CCD) — 4.7%, and Omni Network (OMNI) — 3.9%. The total capitalization of the crypto market decreased by 3.5% to $ 3.76 trillion.

The negative dynamics of cryptocurrencies coincided with the fall in US stock indices. The Dow Jones dropped by 0.38%, the S&P 500 by 0.5%, and the Nasdaq by 0.5%. The reason was an updated estimate of US GDP growth in the second quarter — 3.8% instead of the previous 3.3%, as well as a decrease in the number of applications for unemployment benefits. This pushed the yield on 10-year government bonds to 4.2% and reduced the probability of an October rate cut from 92% to 85.5%.

Popular analyst Michael van de Poppe predicts that Bitcoin may still fall to $ 107,000, after which the recovery will begin. He believes that 90% of the correction is already over. Another trader under the nickname ZYN expects Ethereum to fall to $ 3,800, followed by a rebound and the formation of a bottom within a few weeks.