Analysts predict that the next few days we can expect to see the Bitcoin price dropping by another 30 percent despite the last week’s price movement between the $7,000 and $8,000 range. In the coming altcoin news, we take a closer look at the price analysis.
The analysts believe that the number one cryptocurrency touched an important historic indicator which can be seen on the 3-day charts showing that the price will drop by 30 percent in the next few days.
The world’s largest cryptocurrency-Bitcoin continued to trade in the range of $7,000 and $8,000 for more than two days. Currently, it appears that the bulls cannot break the $8K resistance level. The cryptocurrency, however, managed to sustain support at around $7,500 which could potentially be a good sign.
A popular bitcoin trader took it to Twitter to explain that the cryptocurrency reached the most important technical indicator. According to Crypto Thies, Bitcoin reached the 92-95 RSI on the three-day chart. He outlined that every time that bitcoin reaches this indicator, the price dumps more than 30 percent over the next few days, weeks or months. If the bitcoin price loses another 30 percent of its value currently, this could bring the major cryptocurrency to the $5,400 level.
What is also very interesting is that another trader warned about the same thing. According to him, a dip below the $5,400 price level will be considered a major bear signal. The analysts predict that if that happens, we will go through the same pattern as a year ago until the winter comes.
However, as previously explained in some of the best cryptocurrency news sites, the technical indicators are not giving out the precise movement of the price. This is mainly true for a volatile market as the cryptocurrency one. On another note, Bitcoin has managed to keep the strong support level of $7,500 and if it manages to hold its ground and does not drop another 30 percent, this could be considered as a strong bullish signal. In any case, it will be very interesting to see whether the historical pattern will be maintained again after touching the 92-95 RSI.
DC Forecasts is a leader in many crypto news categories, striving for the highest journalistic standards and abiding by a strict set of editorial policies. If you are interested to offer your expertise or contribute to our news website, feel free to contact us at [email protected]