Bitcoin’s ‘Capital Income’ Threatens BTC Price Below $50K

Bitcoin (BTC) threatens a trip to long-term lows before a “complete bull” takes BTC's price action.

In the year In his recent analysis on X released on October 10, noted analyst Cole Garner said he sees “capital gains” for Bitcoin markets.

BTC price “regional low” still on the table

Bitcoin is still gaining from global liquidity trends, but what comes first may shock the average trader.

Analyzing current onchain events, Garner has shown that liquidity is decreasing in the short term, which may be reflected in BTC's price performance.

“The fluid on the chain is shrinking. It smells like capital coming in,” he summarized.

“Common Prerequisite for Filling”

Accompanying charts showed, among other things, the publication of the Liquidity Vision Index, which measures the world's central bank's liquidity.

Liquidity onchain starts at the source, the central banks. Liquid vision is my go-to lens. It's set for a buy signal,” Garner continued.

“If China doesn't ring that bell, the Fed or Japan will have to do the job. But more downsides may lie ahead.

The post cited recent policy changes from China's central bank and the United States Federal Reserve. After announcing massive economic stimulus last month, it disappointed risk-treasury traders by halting its continuation this week.

Garner also pointed out that the supply of Statcoins is declining, especially the two largest US dollar stablecoins by market value, Tether (USDT) and USD Coin (USDC).

“Will the range drop before $100k? Total facepalm,” he argued.

But: we have a higher altitude in the place. Bullish mkt structure. Even at the lowest level of high fear – still a heavy structure.

Those low prices, another chart shows, can still come in under $50,000.

Bitcoin hits the can on “Uptober”.

According to Cointelegraph, some market participants are still hoping that BTC/USD will change its direction before the end of October.

Related: Bitcoin traders do not expect new highs until the 200-MA support

Even rethinking China's stimulus, one theory argues, could spark a new wave of capital into crypto.

Highlighting, high BTC price predictions also remain. This week, long-term trader Peter Brandt said he sees BTC/USD reaching $135,000 next year unless key support holds.

At the time of writing, Bitcoin was trading at $61,000, up 4% month-to-date, according to data from Cointelegraph Markets Pro and TradingView.

This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.