BTC Price Analysis: Bitcoin Faces Potential for Capitulation Before Full Bull Run
In a recent report on Bitcoin, analyst Cole Garner warned of a possible “capitulation incoming” for BTC markets. Despite the potential for gains from global liquidity trends, current onchain phenomena point to a decline in liquidity in the short term, which could impact BTC price performance.
Garner’s analysis highlighted a tightening of liquidity onchain, signaling a potential capitulation in the near future. Accompanying charts illustrated a decline in global central bank liquidity, as well as a decreasing supply of stablecoins, particularly Tether (USDT) and USD Coin (USDC). Garner’s post also referenced recent policy shifts from China’s central bank and the United States Federal Reserve, which had a significant impact on risk-asset traders.
While some market participants are hopeful for a turnaround in BTC/USD’s sideways movement before the end of October, others remain cautious. Despite the potential for a fresh wave of capital inflows towards crypto, there is still uncertainty surrounding BTC price predictions. Longtime trader Peter Brandt remains bullish, predicting a potential rise to $135,000 within the next year, as long as crucial support holds.
At the time of writing, Bitcoin was trading near $61,000, down 4% month-to-date. It’s important to note that this article does not provide investment advice or recommendations, and readers should conduct their own research before making any decisions.