As Bitcoin plunges, pushing the price back down to the $66,000 level, decentralized prediction markets are seeing a rapid increase in bets on further declines.
According to Myriad, a decentralized prediction market platform, on the 5th (local time), support for the bearish scenario was overwhelmingly high in the market asking whether Bitcoin would rise to $84,000 or fall to $55,000. This suggests that market participants are more likely to see a further correction than a short-term rebound.
Bitcoin continued its downward trend, falling below the $69,000 level during the day and then dropping to the $66,000 range. As the decline widened in recent days, investor sentiment also appeared to have sharply weakened.
The $55,000 level is being discussed in the market as Bitcoin's medium- to long-term technical support level. This price range is located near a key long-term moving average, and it is considered a level that could be tested if the price continues to decline from the current level.
Ethereum also has a predominantly bearish outlook. In another Myriad prediction market, which asks whether Ethereum will rise to $3,000 or fall to $1,500, support for the bearish scenario is relatively strong. Ethereum has recently fallen below $2,000, increasing volatility.
Market participants interpret this surge in bearish betting as a sign of widespread fear across the cryptocurrency market, given that prediction markets reflect investor sentiment more immediately than traditional financial markets. However, they also point out that prediction market results are merely an indicator of participants' collective judgment and do not guarantee actual price movements.
