According to technical analyst, Bitcoin is in Risky Territory
A blockchain analyst from a reputed investment advisor firm at Houston, Jesse Colombo has warned the present and future investor and traders of the status of Bitcoin.
One of the most popular cryptocurrencies or probably the most popular one, Bitcoin is yet not completely out of danger, the analyst said. He has alerted investors of having excited expectations from this currency in the coming future.
Bitcoin had gained around 30% this year after witnessing a destructive year hitting the lowest point in Mid-December 2018. However, the experts are still not impressed by the performance and are cautioning people for not getting carried away. The new triangle-shaped performance pattern of Bitcoin is indicating the lower price in the future, as per Jesse Colombo.
According to Mr. Colombo, after the last large performance triangle pattern which ended with a downfall in the market on November 14 previous year. The way Colombo look at it is, the new chart showed by the bitcoin is nothing but the continuation in the bearish trend of the market and the previous negative performance of the bitcoin.
He also said that the most popular and the number one cryptocurrency in the market is going to make another move once the estimated and feared breakout of the pattern occurs. Bitcoin has not overcome the downfall in trend, the market is still bearish, and the experts fear that it would fall as low as thousands or even bellow USD 1,000.
His predictions were right when he warned about a fall in price last year. Now he says that If bitcoin breaks down from the present triangle pattern, the fall will continue. At present, however, it is to see in which way the Bitcoin goes after the breakdown.
Meanwhile, founder of Ikigai (a crypto hedge fund company), Travis Kling, stated that it is not likely that the bitcoin will not hit the bottom level, as per the predictions, studies and evidence the market will witness a few more lows followed by the higher trends.
Experts are giving the references of GTI VERA Bands Indicator, which is suggesting that Bitcoin is on the verge of making a significant move. But, nobody is clear of the directions in which it will head.
On the same line, CEO of DoubleLine Capital said that it is possible for Bitcoin to move towards USD 5,000. But he did not mention any specific or estimated time for this to happen.
He said he is not really suggesting anything related to bitcoin, at present. But, if anybody wants to speculate, he thinks the bitcoin could hit USD 5,000. Which means it can quickly gain 25%.
DailyFX shared its research last week saying that 80% of traders in bitcoin are estimating long side, which means, they are positioning their portfolios and profiles for higher prices. Since the lowest point hit by Bitcoin last year in December, it is surprising and inspiring for people to be optimistic and hoping for a better performance this year. However, the risk is that these investors and traders will have to sell their holdings and currencies if Bitcoin does not perform the way they are expecting.
As per the present market condition with BTC/USD priced lower than USD 3,850 is forcing investors to sell. If the pressures keep increasing on investors and they keep selling, the price of Bitcoin will fall lower than USD 3,720, and other altcoins will have to suffer too.
