Bitcoin Price Prediction: V-Shaped Recovery or A Crash to $35,000, What’s Next?

Key Insights:

• Bitcoin price tests crucial support in a make-or-break situation, under $55,000.
• Record low RSI readings and support at the 200-week moving average could trigger a recovery ahead.
• Institutional sentiment remains weak despite the price rebound. U.S. spot Bitcoin ETFs recorded $1.72 billion last week.

Bitcoin and the broader crypto market are showing strong divergence from the global market correction over the weekend. After touching the base at $60,000, Bitcoin price is up nearly 2% in the last 24-hours and is trading at $63,500 levels as of press time. BTC has bounced back from the strong support of the 200-week moving average (WMA). Analysts are weighing whether this hints at a strong recovery or there’s further downfall from here onwards.

Can Bitcoin Price See A V-Shaped Recovery Soon?

Popular analyst Crypto Patel explained that the recent Bitcoin price decline led to a large-scale liquidity sweep. This led to strong panic selling from traders before the price bounced back again.

Despite the rebound, Crypto Patel cautioned that the market may not be out of danger yet. He noted that if Bitcoin develops a classic V-shaped recovery pattern, there remains a possibility of one final decline toward the $50,000 region before a more sustainable bullish reversal begins.

The analyst added that major market bottoms are often formed after periods of maximum pain and capitulation. He said that investors should not rule out any further downside before Bitcoin establishes a long-term floor.

Furthermore, Patel also stated that the BTC price is approaching a critical long-term support trendline that has remained intact for nearly nine years. According to the analyst, the key support zone is located near $55,000. He warned that a decisive breakdown below this trendline could trigger a sharp decline toward the $35,000 region.

As per the analyst, such a move is likely to coincide with heightened market fear, widespread panic selling, and increasingly bearish sentiment across the cryptocurrency community.

Despite the possibility of further downside, the analyst emphasized that his long-term outlook for Bitcoin remains unchanged. The analyst continues to maintain a bullish multi-year outlook for Bitcoin, with a long-term target of $500,000.

Oversold RSI, Bitcoin Price Upside Intact?

The current technical chart setup for Bitcoin price highlights major recovery ahead, and oversold conditions as per the relative strength index (RSI). Analyst Michaël van de Poppe said that Bitcoin has bounced from a key higher timeframe support zone near its 200 WMA, which is a strong support zone.

According to the analyst, the next major hurdle for Bitcoin is the $64,000 to $65,000 resistance range. A successful breakout above this area could pave the way for a rally toward $71,500 to $73,000, and further to the CME futures gap around $79,000.

Poppe described the current market environment as an attractive accumulation zone for long-term investors. He noted that Bitcoin’s two-week Relative Strength Index (RSI) and daily RSI have reached their lowest readings on record, showing oversold conditions.

The analyst added that if the broader crypto market correction continues, Bitcoin price can slip a bit further. However, he argued that the current setup presents one of the strongest opportunities for accumulating BTC.

Another expert, Benjamin Cowen, said that BTC is currently experiencing the final and third stage of bear market cycle. He noted that investors who dismissed bearish warnings during the earlier stages of the downturn are now beginning to acknowledge the possibility of further downside in Bitcoin’s price.

BlackRock on Bitcoin Dumping Spree

U.S. spot Bitcoin ETFs recorded net outflows of approximately $1.72 billion during the June 1–5 trading week, according to SoSoValue data. The withdrawal marked the second-largest weekly outflow since the launch of spot Bitcoin ETFs in the United States.

The heavy outflows underscore continued institutional caution toward Bitcoin exposure. BlackRock’s IBIT is leading most of the outflows. In the early Monday morning hours of June 8, BlackRock transferred approximately 3,580 BTC, worth about $226.8 million, to Coinbase Prime.

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