Analyst: Playing ‘Catch The Bitcoin Price And Crypto Market Bottom’ Hot Potato Is Hard To Do
Crypto Analyst Says It Is Difficult To Catch Bitcoin’s Bottom
It seems difficult to realize when Bitcoin (BTC) is going to reach a bottom. Bitcoin was traded above $6,000 for most of 2018 until November when it dropped under that value. Indeed, the asset fell through key support and it reached lows in more than a year.
There are some experts and analysts that believe that the lowest point for Bitcoin was close to $3,150 and $3,250 – depending on the exchange. This is why there are some investors that started to enter the space and accumulate Bitcoin at this price. These individuals and enthusiasts are waiting for Bitcoin to reach new highs in the future.
The cryptocurrency trader Alec Ziupsnys, believes that catching the exact bottom is like trying to pick up a penny in front of a steamroller. He wrote on Twitter that there will only be 818,913 more Bitcoin mined before the next halving event.
The main reasoning behind this way of thinking is the fact that Bitcoin is going to be experiencing a reduced supply in the future. In 2020, rewards for miners are going to drop from 12.5 BTC per block to 6.25 BTC per block. 818,913 BTC are equal to $3 billion at current prices. This shows that the deflationary feature of Bitcoin could help the digital asset to grow once again.
According to the technical analyst Josh Rager, Bitcoin falling another 5% to 7% is nothing compared to what it can grow in the future. He went on saying that it would not matter in three to five years $1,800 or $3,000.
Dog doesn't need me to back him up
But I think what he means is that we've already retraced from $20k to $3,100
After you retrace 85% – what's another 5% to 7% drop compared to how low the market has already dropped
$1800 or $3000 $BTC won't matter in 3x to 5x years
— Josh Rager 📈 (@Josh_Rager) February 22, 2019
At the time of writing this article, Bitcoin is being traded close to $3,875 and it has a market capitalization of $68.03 billion.