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Over the past 48 hours, Bitcoin (BTC) price has started to show some strength. After the brutal drawdowns that were seen early this week, which saw BTC unravel to $7,700 from $10,200, this strength has been welcomed.
Related Reading: Bye-Bye Bull Run: Bitcoin Price Daily Closes Under Vital Moving Average
However, one analyst says that it’s not over for Bitcoin just yet, claiming in a recent analysis that the cryptocurrency still has at least another 25% to fall from here. Yet, the same analyst expects for BTC to start flirting with its previous all-time high of $20,000 in eight months’ time.
What’s Next for Bitcoin?
According to a prominent technical analyst, Bitcoin’s collapse isn’t just done yet.
In a recent Twitter post, they remarked that Bitcoin’s markdown phase is yet to complete, seemingly looking to the fact that the cryptocurrency is below a set of prominent moving averages, and is thus weak.
What’s most likely according to them is that BTC falls to the key supports in the low-$6,000s by November, accumulates there into January of 2020, then rockets higher into May 2020’s block reward reduction event — known as a “halving” or “halvening”.
https://twitter.com/TraderEscobar/status/1177599268401512449
The trader’s analysis corroborates a much-ballyhooed historical trend that prior to a halving, Bitcoin sees months of “reaccumulation” after an early-stage bull market expansion and an initial bottoming process.
Related Reading: Crypto Tidbits: Venezuela Owns Bitcoin, SoFi Adds Cryptocurrency Trading, Libra Launch Unclear
What Consolidation? BTC To Bounce Back Soon
While the abovementioned analyst is supportive of a drawn-out accumulation in the $6,000s, there are some convinced that it will only be a few weeks before Bitcoin reenters the $10,000 region.
Speaking to British paper The Independent, Simon Peters, analyst at eToro, opined that BTC is ready to soon retake five digits:
“Now that Bitcoin is now trading below $8,500, it could become an attractive proposition for investors who want to buy the dip. Fundamentals such as hashrate remains strong, and adoption of crypto is still moving forward at pace. With those conditions in mind, we could see the price rise back up to $10,000 within the space of the next month.”
Related Reading: Crypto Twitter Divided Over Bakkt; 50% Expect the Bitcoin Futures to “Flop”
And Joe DiPasquale, the chief executive of BitBull Capital, echoed this cheery analysis, even going as far as to tighten the timeline for recovery. The industry executive asserted to CNBC that as “Bitcoin’s fundamentals remain strong”, a “price [recovery] back towards $10,000 [can be had] in the coming days”.
Featured Image from Shutterstock
