Bitcoin Dips To $74K After Trump Claims Iran War Is ‘Close To Over’ – But Analyst Eyes Rally To $88K

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Key points:
Bitcoin’s price dipped lower on Wednesday morning after forming a “shooting star” pattern on daily charts, a signal often associated with short-term reversals.
According to analyst Michael van de Poppe, rising open interest and negative funding rates indicate that more traders are betting against Bitcoin at current levels.
The analyst said repeated tests of resistance increase the likelihood of a breakout toward $85,000 to $88,000.
Bitcoin (BTC) edged lower on Wednesday morning after daily charts formed a bearish “shooting star,” but analyst Michaël van de Poppe says traders may be misreading the setup with rising short interest pointing to a potential breakout.

President Donald Trump’s comments that the U.S.-Iran war “will be over soon” in an interview with Fox News did little to assuage markets. “We’ve beaten them militarily, totally,” Trump said. “I think it’s close to over, I view it as very close to over ... If I pulled up stakes right now it would take them 20 years to rebuild that country, and we’re not finished.”

Bitcoin’s price dipped 0.5% in the last 24 hours to $74,000. Retail sentiment on Stocktwits around Bitcoin remained in ‘bullish’ territory over the past day, with chatter at ‘high’ levels.

“The markets have rallied to $75,000 and rejected there,” MN Fund founder and chief investment officer Michael van de Poppe said in a post on X. “A 'shooting star' was made on the daily timeframe, and people freaked out.” In technical analysis, a shooting star is a type of candlestick pattern that signals a potential bearish reversal. Analysts usually interpret is as an attempt at a failed rally.

Will Bitcoin’s Price Drop To $30,000?

According to Van de Poppe, traders may be overreacting to the ‘shooting star’ indicator. He noted that funding rates were negative and open interest rates that increased over the last few days, which means traders at looking to short Bitcoin in its current trading range.

He added that this is the third time that markets are testing the same price point, which means there’s a higher likelihood that Bitcoins’ price could break higher to between $85,000 and $88,000.

According to Van de Poppe, it’s unlikely that Bitcoin’s price will go as low as $30,000 or $40,000 like others have forecast because the standard 80% correction is unlikely to occur However, that's the wrong thesis if you compare the data to previous bull and bear markets in this asset.

“The sigma-debt has already been paid off in the recent correction,” he wrote. “I'm not saying that you shouldn't expect a potential test of the lows anymore, that's definitely possible, I don't think that we'll see much more downside from here.”

Solana, Ethereum Lead Losses Among Crypto Majors

Solana (SOL) and Ethereum (ETH) led losses among the top 10 cryptocurrencies by market capitalization. Solana’s price fell more than 3% over the last 24 hours to around $83.20, while Ethereum’s price dipped 2% to around $2,300. Retail sentiment on Stocktwits around Ethereum remained in ‘bullish’ territory over the past day, while sentiment around Solana trended in ‘neutral’ territory.

The overall cryptocurrency market moved 0.8% lower to just below the $2.6 trillion mark. CoinGlass data showed $422 million liquidation in the last 24 hours, with a near-even split between long bets and short positions being forced to unwind.
source: https://www.tradingview.com/news/stocktwits:8a5596dfa094b:0/