Bitcoin (BTC) has fallen 13% over the past four days, sliding to $63,844 from $79,300. It is currently trading below $69,000, which is the 2021 bull market high, a level many see as a support level.
The $69,000 level represents the peak of the 2021 bull market. Prior cycle tops have historically acted as support during bear markets. In the last cycle, Bitcoin bottomed near the 2017 high of $19,600 before briefly dipping lower to around $16,000 in November 2022.
The current drop below $69,000 may follow this pattern. However, past cycles also show that prices can fall below prior highs before forming a final bottom. This keeps downside risk open for BTC.
