After a long period of facing downwards pressure, Bitcoin’s bulls finally caved in to the selling pressure, which sent BTC reeling into the $10,000 region. This drop sent the aggregated crypto markets plummeting lower, which may spell significant trouble for the year ahead.
Now, analysts are noting that Bitcoin is highly likely to extend this downwards pressure further in the coming weeks and months, which could result in a drop back into the four-figure price region.
Bitcoin Plummets Nearly 10% as Bears Come Out Swinging
At the time of writing, Bitcoin is trading down just under 9% at its current price of $10,420, which is down significantly from its daily highs of roughly $11,500, which were set yesterday.
This recent drop marks an extension of the downwards pressure that BTC first incurred when it swiftly rose to $13,800 in late-June, which subsequently led to a massive drop that halted the upwards momentum the markets had incurred for the past several months.
Since this drop, Bitcoin has found strong support in the upper-$9,000 region, and analysts are noting that it will likely continue to drop until it reaches this price level again.
Josh Rager, a popular cryptocurrency analyst on Twitter, spoke about this in a recent tweet, noting that it is critical BTC holds strong above $10,577 today, or else a drop towards $9,000 is imminent.
“$BTC – the [bears] woke up from hibernation and are pushing the price down to major support area. Really need to see it close above $10,577 level or my next target will be in the low to mid $9ks at a weekly support level. Bulls have until 11:59PM UTC for daily/weekly close,” he said.
Will Downtrend Persist Throughout the Rest of 2019?
Although it does seem as though this downtrend is simply a flash in the pan before Bitcoin continues its upwards ascent back towards its previously-established all-time-highs, one analyst is noting that it is highly likely this trend persists for the rest of 2019.
Dave The Wave, a popular cryptocurrency analyst on Twitter, spoke about this possibility in a recent tweet, saying:
“A lower low, and under 10K, could very well see a major trend change. Six months spiking… possibly the rest of the year correcting. But on the positive side, the bottom looks in. Support: Growth curve, mean curve, medium and long term averages.”
Only time will tell as to whether or not the recent bout of BTC selling pressure is truly emblematic of a long-term trend, but it is probable that the crypto will return to the four-figure price region in the near-future.