Bitcoin (BTC) Price May Drop Below $40K as CryptoQuant Warns of a Possible Drop

Critical support level at $47,140, with 900,000 addresses holding 489,000 BTC. $1.06 billion wiped out in 24 hours, with $900 million lost by bullish investors.

Bitcoin (BTC) price dropped大幅下落, losing over 16% in the last 24 hours and breaching the crucial $57,000 support level. This sudden decline has raised alarms in the crypto community, with experts now predicting a potential drop to $40,000.

According to CryptoQuant, this breach of support signals a troubling trend. The recent drop has pushed traders into their most negative unrealized profit margins since November 2022.

#Bitcoin dropped over 16% in the last 24 hours, breaking below the $57K support level.

This breach suggests a possible drop to $40K.

Currently, traders are facing their most negative unrealized profit margins since November 2022. pic.twitter.com/gTWT52NO60

CryptoQuant’s data highlights that this recent price action could lead to further declines, making it a critical period for Bitcoin holders and traders.

Meanwhile, a coinglass report shows that the recent crash in the crypto market caused over $1.06 billion to be wiped out in the last 24 hours. Of this, $900 million was lost by investors who thought prices would rise, and $160 million was lost by those who expected prices to fall.

One of the key support levels for #Bitcoin is around $47,140, where nearly 900,000 addresses previously bought 489,000 $BTC! pic.twitter.com/zcYejFdAS4

Echoing a similar bearish stance, popular crypto chart analyst Ali Martinez highlights a crucial support level for Bitcoin around $47,140. This level is important because nearly 900,000 addresses purchased a total of 489,000 BTC at this price.

This concentration of holdings makes $47,140 a key support area where many investors have significant positions. If Bitcoin manages to stay above this level, it could indicate resilience and possibly set the stage for a price rebound.

However, a break below this support could signal further declines, as it might lead to increased selling pressure from those who bought at this level.