NaijNaira
Bitcoin plunged to $111,809 this week, shaking traders who expected a rally after recent rate cuts—www.naijnaira.com reports.
The sharp dip wiped out more than $1.7 billion in crypto positions within 24 hours, according to TheCryptoBasic, with over 95% of losses coming from long bets.
Market analyst IncomeSharks called the move “nothing more than a liquidation event,” stressing that Bitcoin continues to defend its $112,000 support zone.
Charts show the asset briefly dropped below that level but quickly bounced back, repeating a pattern that has kept buyers confident about a recovery.
“People panic too fast,” the analyst said, noting that Bitcoin still trades inside its price channel and could soon target resistance near $124,457.
Meanwhile, chart expert Ali Martinez shared that Bitcoin’s slide below $113,000 triggered a TD Sequential buy signal on the 4-hour chart.
He argued this could fuel a rebound, pointing to an inverted head-and-shoulders setup that requires more upside pressure to complete.
Martinez explained that if Bitcoin breaks the neckline of this pattern, a surge toward $130,000 is possible, marking new record highs.
The last time Bitcoin touched its shoulder support was in August at $111,745, followed by a deeper low of $107,300 in early September.
The recent retest of $112,000 now strengthens the bullish case, and many traders see the correction as a setup for the next big breakout.
