'This Is A Beautiful, Bullish Chart': Analysts Remain Upbeat As Bitcoin Dips Below $40K

While Bitcoin BTC/USD prices spiral downwards to below $40,000, some technical analyst suggest this drop is temporary before an upward trend resumes.

What Happened: Plunging over 10% from recent highs near 48,000, Bitcoin traded below $39,000 yesterday and continues to struggle to maintain the $40,000 level.

However, traders cite technical factors indicating an impending rebound. Cryptocurrency analyst Ali Charts terms the pullback the "Sentiment Cycle" - a brief anxiety phase marked by correction after transitioning through optimism to belief:

Another analyst, CryptoDonAlt, called the current chart "beautiful and bullish," believing $32k would be an "absolute gift."

On similar lines, another X user CryptoDonAlt analyzed Bitcoin prices technically and said that, “This is a beautiful and bullish chart.”

Crypto/equity options trader Shardi B Trading looked at technicals stating, "This looks like it's going lower though."

Read Also: Crypto Analyst Says Bitcoin Could Reach All-time High In 'Less Than Half A Year,' Cites S&P 500's Performance

Why It Matters: Spot Bitcoin ETFs have seen a total of $1.1 billion in net inflows after two weeks. While some like Jim Cramer think it is unlikely Bitcoin finds footing at $40,000, ARK Invest CEO Cathie Wood maintains a bullish long-term outlook, tweeting of Bitcoin's potential to reach $1.5 million backed by vast computing power.

Analyst opinions vary on the near-term, but technical analysts point to short-lived nature of the pullback in light of the upcoming Bitcoin halving.

Read Next: Bitcoin Experts Say Price Plunge To $39,000 Is 'Healthy For The Market': Here's Why