Bitcoin price has made a first Lower Low since February 2019, which means it is opening the bearish period and is very likely to touch the bottom – it’s just a matter of time. What concerns traders now is how low can Bitcoin fall, and when to enter the market?
What’s happened to Bitcoin?
Here and there, we see the following tweets:
Bitcoin (BTC) Price At Risk Of Additional Weakness: $8,000 Holds Key https://t.co/5SftORADm1— Crypto Trader Pro (@CryptoTraderPro) June 5, 2019
Bitcoin price started a major downward move below the $8,200 and $8,000 supports. Its price even broke the key $7,600 support level and it is currently recovering higher.
Right now, we have two major bearish trend lines forming with resistance near $7,950 and $8,200 on the hourly chart of the BTC/USD. The pair is likely to struggle near the $8,000 and $8,200 resistance levels in the near term.
It’s clear that the bearish market has already begun. We cannot ignore the fact that BTC started the series dramatic falls.
Although traders are optimistic, it appears as if bears are back in full force. Accompanying yesterday’s loss were high trading volumes. There is a market-wide price dump, and understandably so, Bitcoin is undergoing a correction. pic.twitter.com/wbyuRiOcBm— CryptoCoinNews (@jacobberke) June 5, 2019
Yet, it’s a great opportunity for trading and reaping profits:
Bitcoin Price Drops: Are Whales to Blame?— Live BTC News (@LiveBTCNews) June 5, 2019
The good news is that #Bitcoin had ultimately fallen to $7,700, which means that it’s currently trading for $200 more. Perhaps the bulls just need a break before they attempt to break $9,000 again. $BTC #BTC https://t.co/TcU5wrxcN8
Indeed, Bitcoin needs a break before it starts crawling to $9,000 long-awaited price again. We just need to be a bit more patient.
Interestingly enough, whales can really change the market. Here’s what one Reddit user wrote:
About 20-30 minutes before the dump, a whale moved 25K BTC (worth $215 million) to Coinbase. About an hour after the dump, a whale moved $14K BTC (worth $112 million) from Coinbase to another wallet
Here’s another opinion about the Bitcoin price dump:
Where’s the bottom?
Many users start claiming that Bitcoin should touch the level around $6K:
#Bitcoin daily update:— Hitesh Malviya (@hmalviya9) June 5, 2019
- 30 Daily MA which acted as important support during #Bitcoin run has been broken yesterday.
- Price action will be more bearish if Bitcoin fails to regain support above 30 Daily MA
- Downside targets: 6000-6500$ pic.twitter.com/uSC0txqJrn
It seems to be a healthy retracement, and traders predicted that before the dump started happening. The current $7,400-7,700 level is not the bottom – Bitcoin should go deeper.
According to the article, mass retail accumulation here could well see a greater volume of FOMO that the recent rally and push the asset to five figures pretty quickly.
The long-term trend indicators are still bullish so there is no need to panic despite the mainstream media FUD storm that is likely to materialize if crypto markets do correct by this much.
The main recommendation now is to look at the volume:
$BTC / $USD 4 Hr— Bitcoin Racoon (@BitcoinRacoon) June 5, 2019
We are over sold on the CCI.
MACD bearish momentum is stabilizing.
Price action formed a double tweezer bottom & is currently bullish.
Outlook: strong bullish reversal might be on the cards. All eyes on volume. 🤔#Bitcoin #Crypto pic.twitter.com/cpbLY8Qu9n
What we see now is a healthy retracement. There’s quite a lot of volume going through the market, and price fluctuations are normal Bitcoin volatility.
At the end of the day, it still doesn’t take a lot of money to move these markets compared with traditional markets.
Don’t be afraid if BTC touches $6K zone – it’s a temporary period when you will be able to enter the market.