Bitcoin has experienced intensified selling pressure, resulting in a nearly 4% drop over the past week and hitting a one-month low of $55,690. An analyst known as 'Chicken Genius' believes this $55,000 level could be a significant bottom due to a surge in US liquidity, now at $6.117 trillion.
This liquidity influx may help reverse the market�s downward trend and support Bitcoin�s price, breaking through the recent struggle to consolidate above $60,000. The analyst also anticipates a decrease in US interest rates, which could push Bitcoin beyond $100,000, surpassing its current all-time high.
However, another analyst, 'Crypto Data,' warns that Bitcoin has historically dropped 15% following instances of Fed rate cuts, suggesting a potential fall to $48,000. This cautious perspective is compounded by the upcoming US elections, which could significantly impact BTC prices.
The possibility of former President Donald Trump winning could create a looser regulatory climate, potentially boosting Bitcoin prices. Meanwhile, historical data shows September is often bullish during Halving cycle years, adding more uncertainty. Bitcoin briefly recovered to $57,400 at the time of writing.
