Bitcoin to Trade Sideways Before Sharp September Correction
Crypto analyst Doctor Profit expects Bitcoin to trade sideways within an 8% range through August. He warns of a “very red” correction in September and advises traders to prepare short positions for the dip. Last week, Doctor Profit correctly predicted BTC’s surge to $123,000 and subsequent decline following U.S. inflation data. Rekt Capital notes past cycles saw 25–30% retracements set the stage for major rallies, while Titan of Crypto highlights $119,500 as a key level for bulls. Currently, Bitcoin trades around $115,670 after swinging between $115,355 and $123,782 over the week, reflecting heightened volatility. Ethereum, Solana, Dogecoin, Chainlink, and Cardano mirror Bitcoin’s moves, with altcoins showing mixed performance. Technical provider Material Indicators warns that failure to break above the 21-day moving average could signal further downside before a rebound. Traders should monitor these levels to navigate the volatile Bitcoin market effectively.
Bearish
The news signals a bearish outlook for Bitcoin in the short term. Doctor Profit’s forecast of a sharp September correction, combined with failure to breach critical resistance levels like the 21-day moving average, suggests increased downside risk. Historical precedents—such as the 25–30% retracements in previous cycles—often precede major rallies, but only after a deep pullback. The market’s current volatility and mixed altcoin performance reinforce caution. Traders are likely to adopt defensive strategies, including short positions, to capitalize on the expected drop. In the long run, this correction could reset valuations and trigger renewed buying pressure, but near-term sentiment remains negative until key support and moving averages are reclaimed.