Bitcoin, Other Major Currencies Recover, Downtrend is Still Strong
Though Bitcoin and other popular cryptocurrencies have recovered from the recent drop in the market, the overall downtrend is prominent.
Since late July, Bitcoin, among other cryptocurrencies, are having a downwards trend. Bitcoin, dropping from $8,300 to nearly USD$6,300 within a two-week period, makes this rather evident. Other major and more well-known cryptocurrencies, like Ethereum, experienced a more drastic drop in value, losing up to half their value in just under two weeks.
Since January, the crypto market in general has seen similar trends and price movements to representing Bitcoin. The price of Bitcoin has been moving in between USD$6,000 and USD$10,000 since January as if large-scale investors in a market outside of the public cryptocurrency exchange market have been manipulating the price of Bitcoin and other cryptocurrencies. Based on such suspicious behavior, it’s certainly possible Bitcoin is, or has been, subject to price manipulation.
If what certain analysts suggest is correct, then Bitcoin will likely bottom-out at around USD$5,700-5,800. After this downwards trend, we can expect to see Bitcoin and other major cryptocurrencies and tokens, jump up as much as 25% in value, as data may suggest.
Rob Sluymer has told Bloomberg that he believes the decline of Bitcoin isn’t over yet. And other analysts agree that Bitcoin bottoming-out and possibly crashing at around USD$4,000 is a more-than-likely possibility. Regardless of SEC delaying a pending announcement due for the approval or disapproval of another Bitcoin ETF. Despite the fact that the announcement was delayed, Bitcoin took a drop in the market after the announcement was said to be delayed.
Regardless of all this, Sluymer believes that Bitcoin is going to crash down before it has a chance of spiking again, like what we saw in the summer of 2017. According to Bloomberg, Sluymer has said:
You’re getting a bounce today, but I expect the next level of support down close to USD$6,100. It’s pretty early to make the case that you need to go long. It’s got to stabilize first.
Mike McGlone, an Intelligence Analyst at Bloomberg seconds this sentiment, suggesting that Bitcoin could bottom-out at around USD$4,000:
Bitcoin is in dump mode, following the pump run-up on the potential for a U.S. ETF. It may not subside until revisiting good support near $4,000 — last year’s mean.
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Now, the question is, what would a drop to $4,000 mean for Bitcoin? It could mean “all faith has been lost in the market, everybody sell right now.” type of deal, but that being unlikely, it is almost certain to spark a large investment opportunity. Honestly, USD$4,000 would not be a terrible bottom for Bitcoin. Going back to USD$1,000-2,000 would be a terrible drop, on the other hand, but not necessarily the end for the entire crypto-market altogether. It’s volatile, risky and uncertain, but that’s why most people are in this game of crypto-wonders. Bitcoin is still an opportunity and even if this fall does continue, it’s not all over yet, we still have Bitcoin’s hardfork, Bitcoin Cash, which could enter the world crypto-stage as the dominant cryptocurrency, but that is unlikely. We will probably see Bitcoin bottom out near USD$4,000, and possibly spike once again like it did in the summer of 2017.
What are your thoughts on this? When do you think Bitcoin will bottom-out completely, and then experience another spike? Let us know in the comments!