While $100,000 was expected, Bitcoin suddenly fell to $90,000. While this pullback has made investors nervous, they are also wondering whether the price will fall further.
While analysts generally predict that such corrections are normal and short-term, they believe that the current correction will likely continue for some time as part of the cooling of the BTC rally.
At this point, popular analyst Joe Consorti said that if Bitcoin follows its correlation with the Global M2 money supply, it could fall to between $75,000 and $80,000.
Noting that historically the Bitcoin chart has followed the Global M2 Currency correlation, the analyst said that since September 2023, BTC has been following the global M2 with a delay of approximately 70 days since September 2023.
In this context, according to Consorti, the recent Bitcoin correction appears to be in line with the global liquidity parameter.
Noting that the correlation between Bitcoin and M2 money supply has been surprisingly accurate so far, the analyst said, “We will see whether BTC will follow the full bearish path or find support in a short time.”
Consorti stated in a post a few days ago that Bitcoin has been following the global M2 since September 2023. The analyst said here, “I don’t want to alarm anyone, but if this situation continues, Bitcoin may experience a 20-25 percent correction.”
UPDATE: One day after my last chart, bitcoin is now $5,000 lower, following the path set by global M2 several weeks ago very closely.
So far, this correlation is shockingly accurate.
We’ll have to see if BTC follows it all the way down, or stops short & finds support.
🍿🍿🍿 pic.twitter.com/oEGOuYYRio
— Joe Consorti ⚡️ (@JoeConsorti) November 26, 2024
*This is not investment advice.
