After June’s $14,000 high, Bitcoin has been in a downward trend, with four lower peaks representing the first signs of a grueling bear market. This week bitcoin the dominant cryptocurrency dipped below 7000 dollars and touching 6 thousand figure. Presently it is sitting around 7000 dollars. A rapid fall was halted at approximately $6,800 before slowly touching $6540 another historic sticking point but also how long it could fluctuate towards this amount could be crucial to determining which direction the price would take. A similar trend 18 months ago saw Bitcoin slipping by 30%, before falling by nearly 70% in value in the months that followed. Bitcoin fell from $20,000 to $3,150 in 2018 with volatility that looks similar to this year.
This crushing impact could quite potentially happen again especially when reviewing the last few weeks on the bitcoin charts that showed little in the way of a bullish struggle to avoid a bear market’s relentless downward pressure. In the near future, Bitcoin could see a little more improvement as its answer to $6,540 may be enough to start the cryptocurrency’s short-term uptrend. Considering the curious nature of an apparently ever-mischievous market, it would be no surprise to see it unexpectedly rocketing to over $8,000 for no apparent reason. Contrary to optimism according to MIT review cryptocurrency is not heading towards bullish trend in 2020.
As per forbes, Joe DiPasquale CEO of cryptocurrency hedge fund manager BitBull Capital, “if Bitcoin price stays under $6,800 for a while, it is likely to drop to $6,400 and $6,200. However, Bitcoin will be severely oversold if this drop happens very fast and will result in a temporary bounce back”. After price fluctuations he mentioned “probably bitcoin going to put in new lows before” enjoying “a sustained recovery”.
Sources: https://www.express.co.uk/finance/city/1218360/bitcoin-value cryptocurrency-christmas-crv https://www.technologyreview.com/s/614977/sorry-but-cryptocurrency-will-likely-make-you-uncomfortable-in-2020/ https://www.forbes.com/sites/cbovaird/2019/12/18/bitcoin-recovers-after-falling-to-lowest-since-may/#28a16ae05596