Analysts have Both Good and Bad News for Bitcoin (BTC)! "There is a Risk of a Major Collapse, But...."

Bitcoin (BTC) reached levels of 107 thousand dollars from the level of 100 thousand dollars at the beginning of the week following ceasefire news between Israel and Iran.

While there is uncertainty in the market about the direction BTC will move next, Sygnum Investment Research President Katalin Tischhauser made important statements.

Katalin Tischhauser, speaking to CoinDesk, argued that it is unlikely for Bitcoin to collapse without unexpected black swan events like the Terra or FTX crash.

As long as there is no such black swan event, Tischhauser, who argues that a long-term bull cycle will occur, said:

"The crypto market is strongly emotion-driven. Therefore, technical analysis signals like double tops ensure caution.

However, a full-blown collapse requires a black swan event like the Terra collapse or the FTX explosion in 2022.

If there is no similar black swan, we may see a long-term bull cycle based on the existing political and regulatory support and the sticky institutional capital flowing into the content.

Double Top Risk in Bitcoin!

Bitcoin has been stuck between 100,000 dollars and 110,000 dollars in recent weeks. This has led analysts to consider the possibility that Bitcoin's upward trend has run out of steam and that the trend may shift to a downward movement with a double top pattern.

The double top formation is interpreted as a sign that prices will transition from an uptrend to a downtrend.

At this point, analysts like Katalin Tischhauser and Peter Brandt believe that Bitcoin could form a double top pattern above 100,000 dollars.

However, Tischhauser also believes that a major collapse is unlikely as long as there is no black swan event like in 2022.

Although such a large drop for BTC does not seem very likely, it could still mean that if a double top pattern forms, BTC could drop by 75% from its peak to 27,000 dollars.

At this point, Peter Brandt indicated in an analysis he made at the beginning of the month, the potential formation of a double top pattern and a 75% correction. According to the pattern, at $110,000, a double top is formed, with the low level of $75,000 being considered before the second top is formed. In this context, according to analysts, if BTC breaks below $75,000, it means that this double top pattern has formed and could lead to a 75% decline from the peak.

*This is not investment advice.

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