Last week saw one of Bitcoin’s craziest bouts of price action in its 11-year history. After a 10% flash crash to $7,300, the leading cryptocurrency rallied by 42% — BTC’s highest daily gain since 2011 and the fourth-largest move its kind ever — to $10,500 in a move that wiped hundreds of millions of BitMEX short positions off the market.
While this move was undeniably bullish, marking an end to the downtrend that Bitcoin found itself in, some are skeptical that the bottom is in. In fact, one analyst has called for the BTC price to enter the high-$6,000s, claiming that it would actually be healthy for this market to retrace to that level. As reported by NewsBTC, the analyst said that Bitcoin could hit $6,700, as that is where there exists a confluence of technical levels: the 0.5 Fibonacci Retracement of the $3,200 to $14,000 move, the bottom of a descending channel, amongst other important levels.
But, a leading industry research firm has claimed that there is a confluence of fundamental and market evidence suggesting that Bitcoin bottomed at $7,300 last week, and has the room to rally…
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Author: Nick Chong