A prominent cryptocurrency analyst and trader has issued a warning that Bitcoin (BTC) could experience a significant drop if it fails to maintain a crucial support level. The analyst, known by the pseudonym DonAlt, has a following of 65,100 subscribers on the Technical Roundup YouTube channel. According to DonAlt, Bitcoin may correct by more than 13% from its current value.

However, he cautions that if Bitcoin is unable to hold the $80,000 mark as support, a bearish trend may persist. DonAlt suggests that it would be preferable for Bitcoin to maintain the $95,000 level. If it does not and the support breaks down, the situation could become unfavorable. In that case, investors would need to seek out new structures to be built. DonAlt expresses hope that Bitcoin’s value does not drop below $80,000, as that would be a concerning development.

In addition, DonAlt believes that Bitcoin could experience a bullish rally if it manages to regain $98,000 as support on the weekly chart. He describes this scenario as an interesting weekly close. If Bitcoin reverses the current candle and closes above $98,000, DonAlt considers it to be a highly bullish setup. He suggests placing a stop order below the low and targeting new highs.

Conversely, if Bitcoin closes below the $98,000 mark, particularly just below the mentioned box, the situation may worsen. DonAlt explains that there would be a lack of support in such a scenario. When the price of Bitcoin rises rapidly, there is often a lack of bid support when it starts to drop again. This makes the situation more challenging, as finding the area where the price decline will halt becomes more difficult. However, it does not mean that there is no support at all; it simply means that locating the stopping point of the decline becomes more complicated.

At the time of writing, Bitcoin is trading at $92,483, reflecting a 2.5% decrease in the last 24 hours.

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