Bitcoin could fall by 50%. But analysts say the fears are overblown.

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Recent Bitcoin price fluctuations have once again polarized the market. While some experts warn of the possibility of a major correction, others say the current decline is just a short respite before the next rally. Although the market is reacting emotionally, on-chain data shows there is no reason to panic. Could Bitcoin fall by 50%?

Traditional analysis warns of risk

The current decline may not be over yet, said Bloomberg analyst Mike McGlone. In a post on the X Platform, he said the move below $100,000 could be just one step in a larger correction. The analyst said current events could accelerate towards $56,000.

McGlone recalled that Bitcoin’s past rallies often ended with a reversion to its 48-month moving average, which is currently around $56,000.

This forecast suggests the possibility of a maximum decline. almost 50% Since the last peak. This kind of warning, especially if it comes from a well-known analyst, immediately captures the imagination of investors and heightens market vigilance.

On-chain data shows a more benign situation

Then the data from glass node I XWIN Research Japan Indicates that the current fix may be nearing its end. On November 4th, Bitcoin fell to $99,000, falling below the psychological barrier of $100,000 for the first time in four months. However, it quickly rebounded to around $101,500, according to Coingecko data.

Bitcoin price October 7th CoinGecko
Source: CoinGecko

Key on-chain indicators, Market value versus realized value (MVRV)which has fallen to historic lows for the region. Glassnode also attracted attention relative unrealized losscurrently 3.1%.

The company emphasized that readings at this level have historically been consistent with mid-cycle corrections rather than full-blown bear markets.

Glassnode also added that losses below the 5% threshold have historically been due to the nature of orderly pricing rather than panic selling.

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In practice, this means that although the market is nervous, the structure of the correction is not similar to the scenario of several years when Bitcoin entered a prolonged bear market.

Long-term predictions verified

Even the biggest names in the investment world are revising their predictions these days. Cathie Wood z arc investment Lowered Bitcoin’s long-term price forecast by $300,000. She previously predicted that BTC would plateau by 2030. $1.5 millionnow her estimate shows that rather 1.2 million.

Wood explained that the growing popularity of stablecoins in emerging markets is partially limiting demand for Bitcoin as a store of value.

Competition from stablecoins is reducing some of the demand for Bitcoin in developing countries, he said.

This shows that even long-term optimists recognize changing market dynamics and adjust their assumptions.

Market sentiment at a crossroads

Investor sentiment is tested by both data and narrative. Although short-term price fluctuations remain large, key on-chain indicators remain within a range that does not indicate extreme stress.

Some analysts and venture fund leaders still warn of the possibility of an even deeper decline. Therefore, investors must weigh between technical analysis, blockchain signals, and changing trends in the use of Bitcoin and other digital assets.

New technology is changing the Bitcoin landscape – Bitcoin Hyper is here

In this context, there is more and more talk about projects aimed at strengthening the foundations of the BTC ecosystem. One of the most promising is Bitcoin Hyper, Bitcoin’s first ever layer 2 solution.

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his goal is Network improvements It also introduces features that Bitcoin has not offered before. What matters is instant transactions and support smart contractdecentralized applications, and even meme coin.

Bitcoin Hyper runs parallel to the Bitcoin main chain using: solana virtual machine I Zero evidence of knowledge. This ensures scalability and transaction security.

great interest from investors

Investors are already aware of the project’s potential. Raise funds through Bitcoin Hyper presale $26 millionChinasox $hyper Currently it is $0.013235. This is proof that the market is looking for innovations that not only improve Bitcoin’s capabilities, but also create new opportunities for the world. DeFiNFT and blockchain games.

The $HYPER token not only has transaction fees, but also stakingu Participation in network management. Moreover, this project has received a huge number of reservations. 30% of total supply This shows the team’s long-term ambitions.

Why Bitcoin Hyper is important during correction period

At a time when some parts of the market are worried about further declines, projects like BitcoinHyper can play an important role. Diversifying and increasing the usefulness of Bitcoin. The introduction of Layer 2 increases throughput and reduces transaction fees. This could make Bitcoin more competitive with other ecosystems such as Ethereum and Solana.

For investors looking for a cryptocurrency to invest in, $HYPER may be an interesting option, not as a replacement for Bitcoin, but as an extension of it that enhances the functionality of the entire network.

The market is looking for balance

The cryptocurrency market is at a turning point. On the other hand, there are still voices warning that BTC could fall by up to half. Meanwhile, developments in data and technology mean the foundations of the ecosystem are stronger than ever.

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Nowadays, as more and more people search for the best cryptocurrency exchanges to buy digital assets, it’s worth remembering that it’s not just the price that matters, but how a particular project actually impacts the future of blockchain technology.

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