Crypto Market Recovery Faces Risk of Pullback to $82K or Below
The crypto market has been experiencing a tentative recovery after a dip of 1.5% on Thursday, returning to its previous closing level of $2.86T.
This bounce is seen as a short-term profit-taking move following the rally, with some analysts attributing it to an early stage in a potential bull market that could last for a year or two.
BTC stabilised at $84K on Friday after finding support during a dip to $83K, but lacks significant external impetus to resume the rally. This has led to concerns about a pullback to $82K or slightly below, which could have considerable turmoil across the entire crypto market.
Despite this risk, some experts believe that even a drop to $75K would not necessarily be bearish, as it would still keep the market within a bullish phase. This is supported by data showing Bitcoin ETFs attracting $4.6 billion over the past month, offsetting all capital outflows since the start of the year.