After briefly rising above $63,000 in recent days, renewing investors’ “uptober” hopes, Bitcoin has once again dampened that excitement, now falling to the $60,000 level.

This unattractive result led CryptoQuant analyst Aytekin to raise and share his insights on an significant question: “Is it wise to expect a final shakeout before the next big move?”

Bitcoin’s Next Move: Big Correction Is Coming?

In recent post on the CryptoQuant QuickTake platform, the analyst explained that Bitcoin is currently in a zone of high open interest, crossing the critical level of $18 billion. Historically, when open interest rate levels have reached this point, major corrections have occurred.

The analyst mentioned that current market sentiment seems divided, noting:

The market seems undecided in many respects, with some believing there is another substantial move up on the horizon, while others believe BTC’s downtrend remains mighty. It is widely believed that BTC may need a final shake-up before it reaches a fresh all-time high (ATH).

Aytekin added that funding rates, while slightly above the 200-day straightforward moving average (SMA), suggest long investors continue to dominate. However, in the past, significant price adjustments often occurred when financing rates turned negative, which has not yet happened.

Aytekin concluded that while there may be a final shock, the depth of the correction may not be as severe given relatively moderate financing rates.

BTC Price Outlook

As Bitcoin has struggled to break key resistance levels, its recent price action reflects the market’s continued indecision. Over the past few weeks, Bitcoin has held steady above the $60,000 level, but has not made a major move to reclaim $70,000.

Over the last 24 hours, Bitcoin has fallen by 2.9%, currently trading at $60,485. This decline follows a brief rise in the asset’s value to $63,774 earlier in the week, which raised optimism about a possible move towards $65,000 and then $70,000.

Prominent cryptocurrency analyst Ali recently commented on Bitcoin’s price action, noting that Bitcoin continues to trade in a “descending parallel channel.”

According to Ali, the asset was rejected at the upper boundary of this channel, which signals the potential for further declines. “We could see a drop to the mid-line of $58,000 or even the lower end of $52,000,” Ali noted in a post on X.

He stressed that a bullish breakout is unlikely unless Bitcoin breaks through the $66,000 level, a price point that has acted as a significant resistance point in recent weeks.

#Bitcoin remains in the descending parallel channel.

After the recent rejection at the upper limit, we could see a decline to the mid-band at $58,000 or even to the lower border at $52,000. The bullish breakout won’t happen sooner $BTC earns $66,000! pic.twitter.com/yFvS6jxmKB

— Ali (@ali_charts) October 9, 2024

Featured image created with DALL-E, chart from TradingView