The cryptocurrency bitcoin is on shaky ground in late 2024, and investors are keen for a Bitcoin crash prediction. Based on the latest market analysis, the price of Bitcoin is determined by a different type of complex interplay of factors.

Is another major Bitcoin crash coming? Find out what causes its wild price booms and busts.

Key-Takeaways:

• Bitcoin’s volatility is influenced by the same global economic trends that drive it forward: price movements have a lag of 10 weeks after economic policy changes.
• Selling momentum needs to ease as the market stabilizes and support at $89,000 and $75,000 is critical.
• Normally in December, Bitcoin goes up, and analysts are happy with 2025 growth.
• The upcoming halving and renewed investor confidence might not crash predictions.

Macroeconomic pressure as a driver of bitcoin volatility

Hence the Bitcoin crash prediction, because macroeconomic pressures on the world economy are mounting. The reason is one: the Federal Reserve’s conservative stance on monetary policy.

FOMC minutes are a major indicator, according to 10x Research. Removal of a crucial driver for earlier Bitcoin’s price surges—a pause in monetary easing—has ensued.

Bitcoin crash prediction is largely a result of global liquidity trends. The price change of Bitcoin corresponds to changes in the money supply.

A 10-week lag between a policy shift and Bitcoin’s response is what analysts point to. The correlation to world financial conditions shows how sensitive the crypto is to the state of the world economy.

Technical Level of Support and Indicators

The Bitcoin crash prediction based on technical analysis can offer you valuable insights. Bitcoin’s ability to stabilize will be tested by key support levels at $89,000 and $75,000.

A pullback will likely be seen if the signals are bearish daily reversal ones. These are signals of the risk of correction out of overbought conditions.

The Bitcoin crash prediction is about looking at the on-chain metrics. The activity of the long-term holders is increasing their selling activity.

The selling momentum may have eased as the realized profit-loss ratio implies. Such that the trend would help stabilize the market and not collapse on a full scale.

Though there is talk of the current Bitcoin crash, there is potential in the long term. Historically, the performance in December has been bullish.

Still, analysts are optimistic as to 2025, pointing out Bitcoin’s resilience. Its ability to return quickly from past corrections has been shown.

During the holidays, though, the bitcoin crash prediction becomes much more nuanced. As historical data suggests Thanksgiving weeks have coincided with price corrections in the past. Bitcoin is trading near $96,000 for the critical 2024 price level, with analysts watching for signs of a price action.

There are several ways the Bitcoin crash prediction could fail. A bullish catalyst ahead of the upcoming cryptocurrency halving event.

Other factors include macroeconomic shifts and renewed investor confidence. And there was a further factor in December’s history of quick recoveries.

While Bitcoin crash prediction propels a debate, investors should consider the market with a careful approach and mind. The cryptocurrency continues to prove resilient under short-term volatility, with potential for recovery.

Conclusion

Bitcoin crash predictions point to the complexity of the cryptocurrency market. The key to understanding where it’s headed is monitoring indicators, trends, and patterns.

Where do the signals, trends, or shifts come from that will shape Bitcoin’s future? We’ll look forward to hearing what you think in the comments.