According to 10x Research, Bitcoin investors should look for the asset price to drop to the low $40,000s to best enter the next bull market.

Bitcoin Needs Low $40,000s

If you're a Bitcoin investor, a crypto market analyst says you should sit tight until the asset price drops to the low $ 40,000s. Then, you'll have the finest opportunity to get in before the next bull run.

An Aug. 7 report received by Cointelegraph contained the following: "To ideally time the next bull market entry, we aim for Bitcoin prices to fall into the low 40,000s," as stated by 10x Research head of Research Markus Thielen.

"We would then expect another major rally attempt," Thielen stated.

Based on statistics from CoinMarketCap, the previous time Bitcoin was trading at $42,577 on February 6th was also inside this range.

Bitcoin Down 12.89%

The value of one Bitcoin has decreased 12.89% since July 31 to $56,848 as of this writing.

Nobody is more alone than Thielen. Bitcoin, according to some experts, might drop into the $40,000s within the coming months.

Timothy Peterson, founder of Cane Island Alternative Advisors, stated in a post on August 5th:

To his 808,400 X followers, Crypto Rover said:

David Gokhstein, founder of Gokhstein Media, further stated:

Even though $60,000 has been a strong support level for Bitcoin since March, it has now fallen below that mark for two days in a row.

Thielen Warns Against Buy-and-Hold

Bitcoin and Ether do not present the same high risk-reward ratio as the US stock markets have been offering as of late, and Thielen warns against a buy-and-hold approach due to the anticipated volatility in the near future.

"Neither Bitcoin nor Ethereum is exhibiting the steady, high Sharpe ratio uptrends that US stock market investors have enjoyed with minimal effort," Thielen said.

Setting a Stop Loss at $54,000

The "risk remains to the downside," but Thielen thinks Bitcoin could be a good buy at the moment; he just recommends setting a stop loss at $54,000.

"Especially since we have seen three consecutive days of outflows from the ETFs which do not appear to be buying this dip," he stated.

Spot Bitcoin ETFs Underwater

Since the average price is "around $60,000," Thielen noted that investors in the U.S.-based spot Bitcoin exchange-traded funds (ETFs) that were established on Jan. 11 are currently "underwater."

He went on to say that ordinary investors, who frequently follow trends, could be hesitant to engage in significant buy-the-dip ETF flows as Bitcoin is currently experiencing a downward trend.

Even though spot Bitcoin ETFs have received $17 billion since its introduction, Bitcoin fell below $50,000 on August 5, getting closer to its launch day price of $46,656 on January 11, which "astounded" Thielen.