• Advertise
  • Submit a Press Release
NewsBTC
Bitcoin & cryptocurrency news
Crypto.com Logo
  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play GamesTry
  • Bet & WinTry
  • Spin & WinTry
No Result
View All Result
  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play GamesTry
  • Bet & WinTry
  • Spin & WinTry
No Result
View All Result
NewsBTC
No Result
View All Result
Nexo Logo

Bitcoin Could Soon Plunge From $7,000: 2 Key Technical Trends Prove This

Nick Chong by Nick Chong
2 years ago
in Bitcoin
Reading Time: 2 mins read
Advertisement

In the wake of the crash to $3,700, investors thought Bitcoin was on a certain path to fresh macro lows under $3,100. But, this has quickly changed as the cryptocurrency has embarked on a stunning recovery, reaching $7,500 last week on the back of hype regarding the May 2020 block reward halving.

Unfortunately, the 100% move from the “Black Thursday” low is coming to an end, with key indicators suggesting that a correction of the rally is imminent.

Related Reading: Ripple’s XRP Just Reclaimed a Multi-Year Trendline: Why This is Crucial for Bulls

Bitcoin Is Preparing to Reverse: Indicators

Avi Felman — a trader and analyst at crypto-asset fund BlockTower — recently observed that there are two clean signs that a reversal in the cryptocurrency market is on the horizon:

5 BTC + 300 Free Spins for new players & 15 BTC + 35.000 Free Spins every month, only at mBitcasino. Play Now!
  • The Tom Demark Sequential, a time-based indicator that prints “9” candles to mark reversals, is printing a sell “9′ candle on the three-day chart. Previous three-day 9 candles marked the mid-March bottom and the December 2019 bottom, but front-ran the $10,500 top seen earlier this year.
  • Ethereum is currently failing to break past the three-day 50 moving average and the 200 moving average.

It takes a brave man to stand here.

Thanks @truenomic for the clean TD pic.twitter.com/IVLRnpwS59

— Avi IS RIGHT (@AviFelman) April 16, 2020

There are also other traders that have similar sentiment, explaining that the signs are pointing to a move lower.

Trader DonAlt remarked that while the recent daily candles have not been “super bearish,” it is “awfully close to how the $10,000 top played out” pointing to structural similarities between that time frame in February of this year and now.

BitStarz Player Lands $2,459,124 Record Win! Could you be next big winner?
Get 110 USDT Futures Bonus for FREE!

The asset following the playbook it made last time it saw such similar price action will see it tumble off a cliff in the coming weeks, likely to retest the lows.

Macro Perspective Also Suggests Yet Another Drop is Coming

The macro picture also suggests that the cryptocurrency may soon return to the downside.

Per previous reports from NewsBTC, Bitcoin analyst Dan Talmon suggested that Bitcoin’s bear market has seven distinct points and three distinct phases, depicted by the numbers and colors in the below chart.

The first phase is marked by a steep crash and bound; the second phase is short but sees the cryptocurrency crash again to set a new low; and the last phase is capitulation, where prices set fresh lows.

BTC is currently at the start of the third phase, the chart suggests. It also shows that should Bitcoin complete the pattern as it has done in the past, it will fall and then consolidate around the $4,000 lows once again.

Adding to this, Ross Ulbricht — the early crypto adopter behind the online marketplace “The Silk Road” —  suggested that Elliot Wave theory suggests BTC may fall under the 2018 lows. Elliot Wave is predicated on market cycles and investor psychology.

Related Reading: This One Financial Trend Will Make Bitcoin Succeed: Billionaire
Photo by Nik Shuliahin on Unsplash
Tags: bearishbitcoin pricebtcusdTD Sequential
Tweet123Share241ShareSend
Win up to $1,000,000 in One Spin at CryptoSlots
Nick Chong

Nick Chong

I am a writer who has been following Bitcoin for years now. My insights and interviews have been featured in leading publications in the industry such as LongHash and Decrypt. I own a small amount of Bitcoin.

Related Posts

Bitcoin on-chain metrics

Bitcoin On-Chain Activity Throttled After LUNA Collapse

4 hours ago
Bitcoin Consolidation Uninspiring, But Run To Near $33k On The Cards

Bitcoin Consolidation Uninspiring, But Run To Near $33k On The Cards

5 hours ago
Bitcoin

Bitcoin Trading Volume Plummets Down From Recent Top

8 hours ago
Bitcoin

Bitcoin Sets Record Streak For Bloodliest Weekly Trend yet

9 hours ago
JPMorgan: Bitcoin Is Undervalued; Says Fair Price Is 28% Higher

JPMorgan: Bitcoin Is Undervalued; Says Fair Price Is 28% Higher

10 hours ago
Bitcoin Rejects Downside At $29k, Here’s Why This Is Good

Bitcoin Rejects Downside At $29k, Here’s Why This Is Good

1 day ago

Premium Partners

Top Brokers

PrimeXBT

PrimeXBT

Review · Visit

Top Casinos

BitStarz

BitStarz

Review · Visit
7BitCasino

7BitCasino

Review · Visit
Punt Casino

Punt Casino

Review · Visit
Wildcoins Casino

Wildcoins Casino

Review · Visit
CryptoSlots

CryptoSlots

Review · Visit
mBit

mBit

Review · Visit
CryptoGames

CryptoGames

Review · Visit
Bspin

Bspin

Review · Visit

Sportsbooks

1xBit

1xBit

Review · Visit

Chronoly (CRNO) Takes Number 1 Spot at Project To Invest In 2022 Over Fantom (FTM) and Anchor Protocol (ANC)

May 25, 2022

Pancakeswap to Start Listing Metallika token (METALLIKA)

May 25, 2022

Ariva celebrates 1st year anniversary with impressive achievements in the blockchain industry

May 25, 2022

LBank Exchange Will List Globiance Exchange Token (GBEX) on May 25, 2022

May 25, 2022

LBank and Adanian Labs Powers Hackathons, Blockchain Education, and Ecosystem Development for Africa

May 25, 2022

ABOUT US

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

COMPANY

  • Advertising
  • Comments Policy
  • Privacy Center
  • Sitemap
  • About Us
  • Contact

Technical Analysis

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Ripple (XRP)
  • Chainlink (LINK)
  • Cardano (ADA)
  • Tezos (XTZ)

LINKS

Crypto Prices from Nomics

Cryptocurrency news

  • Bitcoin
  • Ethereum
  • Ripple
  • Chainlink
  • Cardano
  • EOS
  • Tezos

© 2021 NewsBTC. All Rights Reserved.

  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Play Games
  • Bet & Win
  • Spin & Win

© 2021 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.