Within 12 hours, price of Bitcoin(BTC) has dropped from $5,560 to $5,170. After dropping to $5,750 on 11th June, BTC maintained the $6000 level with high volume and trading activity in the market. $6,000 has become the standard for major cryptocurrencies.
Is $4000 price inevitable?
Crypto Rand, a popular cryptocurrency trader and analyst, stated that the next likely range for BTC is between $4,800 to $5,200, if BTC fails to recover from the low $5,000 region to the $6,000 level.
“More Scenario still active. No bottom signals. Target on the $4,800-$5,000 range,” Rand further explained that technical indicators of BTC are not demonstrating any sign of a bottom.
Following the current trends of the market, a further drop is likely. If in case a sell-off occurs, the volume of BTC will spike by 70 to 100 percent.
As of November 19, the volume of BTC remains just above $4.8 billion, suggesting sell-pressure on the asset and the resistance from bulls in the market remains low.
With BTC’s entry into a low region of $5,000 and enters in the high $4,000 region. Other cryptocurrencies and tokens are expected to follow the same suit and fall by substantial margins.
Within a seven-day span, the price of BTC has dropped from around $6,400 to $5,170. Based on the intensity and the magnitude of the drop, a drop below the $5,000 mark is likely, especially considering that technical indicators are showing no signs of a bottom.
Recuperating Losses till Q2 of 2019
Willy Woo, a Bitcoin researcher and the founder of Woobull.com, said “Fundamental indicators of the Bitcoin blockchain show a high probability of the negative sentiment around BTC and the rest of the crypto exchange market extending until the second quarter of 2019.”
He further added, “This last reading of our blockchain and macro market indicators is still in play. What has changed is that NVTS has now broken its support, typically a sell signal. All our blockchain indicators remain bearish. NVT, NVTS, MVRV, BNM, NVM. They are experimental but have served to make very correct calls to date, even when traditional on-exchange indicators were reading to the contrary.”
If BTC drops below $5,000, the probability of the negative waves around crypto could extend till mid 2019.