Analyst Warns BTC Could Fall Toward $80.5K After Losing $89.8K — Opens Short
Crypto analyst Joao Wedson reacted to Bitcoin’s recent decline, saying the loss of the $89,800 level confirmed prior signs of weakness. Wedson pointed to the failure to hold key on-chain support and warned that the market may enter an extended sideways phase. He opened a short position near a recent local high, emphasizing that consistent profitability over many trades matters more than single outcomes. Wedson highlighted critical levels: a break below $86,500 would likely open the path to $80,500 and potentially create a new local bottom. At the time of reporting, BTC traded around $88,430, with downward pressure—roughly a 2.9% drop in the last hour and 4.4% over 24 hours. (This is not investment advice.)
Bearish
The analyst’s commentary, combined with the observed loss of the $89,800 support and the failure to maintain on-chain support, signals increased downside risk. Wedson’s explicit short position and highlighted trigger levels ($86,500 then $80,500) create clear technical downside targets that can catalyze further selling, particularly if large holders or algorithmic traders react to those breaks. Short-term impact: elevated volatility and potential cascade of stop-loss liquidations as $86,500 and $80,500 are tested. Traders may reduce long exposure and increase hedges or short allocations. Medium-to-long-term: if price holds above $80.5K and on-chain metrics stabilise, the market may settle into a sideways range as Wedson suggested; if $80.5K is lost, market structure could shift to lower consolidation, delaying bullish recovery. This mirrors past episodes where failure to hold key supports (e.g., previous $xxk breaks) led to accelerated declines and prolonged consolidation, reinforcing a cautious, risk-managed approach for traders.