Analysts expect further declines in Bitcoin price, which has hit a multi-year low at $15.6K

Key points: 

• Bitcoin has retreated to $15,698 amid the chaos caused by the potential bankruptcy of FTX and the failed Binance deal. 
• BTC prices could surge to nearly $15,000 in the near term. Citing a range of indicators, analysts say bitcoin could eventually stabilize at around $12,000.
• If its price falls further, it will be the first time in its history that the 52-week and 104-week MAs have fallen below the 156-week MA.
• Glassnode analysis cites aSOPR on-chain metrics showing that buyers are selling at a 10% loss, something that hasn’t happened since the June 2022 sell-off.

Investor sentiment in the crypto market is in turmoil after Binance decided to terminate its agreement with FTX to buy the troubled cryptocurrency exchange. These events sent Bitcoin to new yearly lows, while other altcoins suffered sharp losses.

Bitcoin has retreated to $15,698 amid the chaos caused by the potential bankruptcy of FTX and the failed Binance deal, data shows. Analysts turn to technical charts to find the next price path

Analysts expect short-term support at $12,000 to continue on the downside

According to independent market analyst Cantering Clark, BTC prices could surge to nearly $15,000 in the near term. Citing a range of indicators, analysts say bitcoin could eventually stabilize at around $12,000.

This is as clean of a continuation break as you are going to get, and this time we have a catalyst to really send it.

15k might provide brief support, but the next major area for price to settle seems to be around the 12k handle.

Cheap Bitcoin coming. pic.twitter.com/aDDMJIMRDh

— Clark (@CanteringClark) November 9, 2022

Will Bitcoin Price Break Below Major Multi-Year Moving Average?

Analyst Caleb Franzen explained that the estimated moving average (EMA) is an indicator used to measure prices over a period of time. According to Franzen, if Bitcoin price falls further, it will be the first time in its history that the 52-week and 104-week MAs have fallen below the 156-week MA.

#Bitcoin analysis using annual EMA's on weekly candles:

52-week EMA = 1 year
104-week EMA = 2 years
156-week EMA = 3 years

We've never seen the 52 or 104 EMA's cross below 156 EMA, but we're getting very close this cycle.

Is a new first coming for $BTC? pic.twitter.com/knUwdAnqvb

— Caleb Franzen (@CalebFranzen) November 9, 2022

Fears mount, investors sell at a loss

Independent market analyst Dave the Wave uses a logarithmic growth curve to highlight the growing market fear surrounding Bitcoin. According to Dave, if the monthly Bitcoin candle closes below $16,907, Bitcoin’s growth using this key long-term metric will be hampered.

The LGC being tested here.

Let's see where #btc closes on the monthly candle, which is of most significant for long-term models. pic.twitter.com/nM79cVNhjs

— dave the wave (@davthewave) November 9, 2022

Glassnode analysis cites aSOPR on-chain metrics showing that buyers are selling at a 10% loss, something that hasn’t happened since the June 2022 sell-off.

The last 48hrs have seen a series of dramatic events unfold related to FTX and Binance exchanges

In response, we have seen #Bitcoin aSOPR drop to 0.9, signalling the average spender was realizing a 10% loss.

This is as severe as June sell-off, when prices first fell to $17.5k. pic.twitter.com/p2vmhzEy8Y

— glassnode (@glassnode) November 9, 2022

Analysts across the market were hoping that Binance’s bid to acquire FTX would stop the bloodshed of the current sell-off, and now that the deal is canceled, investors may increase their risk aversion.