Analysts warn that bitcoin may drop to the $54,000 range within the next five months

According to Odaily, crypto market analyst Wedson stated that Bitcoin's 720-day Tactical Bull-Bear Sentiment Index has fallen into the extreme bearish zone, indicating that long-term market fear may be nearing its end. Historically, such low indicator levels have often coincided with the so-called "final shakeout," after which Bitcoin enters a more robust rebound phase. For example, when this indicator was at a low point in 2022, Bitcoin dropped by more than 20%; in a similar situation in 2018, Bitcoin declined by about 50%.

Wedson warned that Bitcoin could experience a sharp drop of around $15,000 over the next five months, meaning BTC might fall from its current price down to the $54,000 area. This suggests that the $50,000–$55,000 range is a key support for Bitcoin. Nevertheless, recent large-scale Bitcoin purchases by Strategy have absorbed some selling pressure, which may limit the downside and prevent the extreme bearish scenario from fully playing out. (Cointelegraph)