Bitcoin’s bounce from lows of $7,714.70 on September 30th gave bulls a stable motive to be optimistic.
At that time, the primary cryptocurrency shed over 44% of its worth from the 2019 prime of $13,880. To some merchants, this worth motion isn’t out of the atypical. More importantly, they count on bitcoin to resume its uptrend quickly.
Unfortunately, the bounce was short-lived and bitcoin resumed its bearish development. While this transfer caught many retail buyers off guard, one skilled analyst anticipated the transfer. In truth, the full-time dealer believes that there’s extra blood to come.
Top Crypto Consolidation After the Breakdown is Bearish
The dominant cryptocurrency grew to become bearish after it broke down from a large descending triangle on Sept. 24. While it did bounce lower than per week later, bitcoin failed to take out resistance of $8,500. That’s a bearish sign to technical analyst TraderSZ.
The full-time dealer shared a chart with CCN and mentioned,
That’s my ideas…I imagine we [are] head[ed] decrease.
Looking at the analyst’s chart, he predicted that bitcoin will dive beneath $8,200 after which convert the help into resistance. That name has truly taken place. Bitcoin is at present buying and selling shut to $8,000 and falling quickly regardless of oversold situations.
Based on the chart, we is perhaps seeing the prelude to the dive to $7,400.
Wyckoff Analyst: ‘Bitcoin Is Making a Major Low Here’
It isn’t all gloom and doom for the king of cryptocurrencies. We spoke to Todd Butterfield, the proprietor of the Wyckoff Stock Market Institute. He believes that bitcoin is creating the next low setup. He mentioned,
I’m nonetheless of the opinion that Bitcoin is making a MAJOR low right here and can start a transfer to all-time highs very quickly.
When requested about the possibilities of the cryptocurrency to dump to $7,400, the prime Wyckoff knowledgeable replied,
My present most well-liked depend is that we rally from right here. Worse case I feel we have now fast dunk to $7,400 then straight up.
Disclaimer: The above shouldn’t be thought-about buying and selling recommendation from CCN. The author owns bitcoin, Ethereum, and different cryptocurrencies. He holds funding positions in the cash however doesn’t have interaction in short-term or day-trading.
Last modified (UTC): October 4, 2019 19:01