A crypto analyst insists that Bitcoin will likely not dip below $55,000 during its current bear market, as supported by Bollinger Bands and Relative Strength Index (RSI) data. Predictions of a drop to $35,000, according to some speculators, would mean a significant retracement of 72% from recent highs.

Historically, Bitcoin’s price fell from $69,000 in November 2021 to a low of $15,500 in November 2022, marking a substantial decrease. Analyst Sykodelic refuted assertions of a Bitcoin drop to $35,000 in 2026, deeming such claims “absolute rubbish.” He explained that for Bitcoin to retract by such a magnitude, it would first need to expand, which hasn’t occurred in this cycle.

Bitcoin is presently down 31% from its October peak of $126,000, a normal occurrence even within bullish trends.

Bollinger Bands Indicate Key Levels

Sykodelic noted that Bitcoin has never fallen below the lower Bollinger Bands monthly. He draws comparisons with 2017 when, despite significant price gains, the market did not dip below the lower Bollinger Band on monthly charts. “If we close this monthly candle below the mid line, we could expect a maximum bottom of $55k,” he states.

Other Analysts Share Contrasting Views

According to Jeff Ko from CoinEx, a slip to $55,000 is improbable, asserting that a bear scenario could instead position Bitcoin between $65,000 and $68,000. He emphasizes that the traditional four-year cycle seems to be evolving, and due to increased institutional participation, he does not foresee a 70%-80% decline from all-time highs.

Ko emphasizes that market depth and the growing involvement of institutional investors suggest future corrections will be less severe.

Potential Catastrophic Consequences of Support Break

Augustine Fan from SignalPlus expressed a bearish outlook if the support zone of $72,000 to $75,000 fails to hold, warning of potentially catastrophic impacts due to significant stop-losses in play.

Currently, Bitcoin is trading around $87,000, slightly rebounding from a recent fall to $84,000.