Could Bitcoin Enter A Nuclear Winter If BTC Price Drops Under $3,000 USD? Civic CEO Says Yes
Could Bitcoin Enter A Nuclear Winter If It Drops Under $3000?
The CEO of Civic, Vinny Lingham believes that if Bitcoin (BTC) breaks below $3,000 the so-called ‘crypto winter’ will become a ‘crypto nuclear winter.’ During the last hours. Bitcoin and other digital assets have experienced a new price drop. The crypto market capitalization moved from $120 billion down to $110 in less than a day.
He said that after the popular trader on Twitter MagicPoopCannon, mentioned that the market should pay close attention to the current levels. If Bitcoin falls to $3,300 it will be testing the weekly 200 MA, which is very important for the value of the digital asset. This is where the market bottomed in the past. However, if Bitcoin drops even further, ‘things will get nasty.’
We need to pay close attention right now. If BTC falls about 5% lower to about 3300, it will be testing the ever important weekly 200 MA, which is what we bottomed on in January, and what forced the last bear market to bottom. If we close below that, things will get nasty.
— MAGIC (@MagicPoopCannon) January 28, 2019
During the last few months, Bitcoin has been traded between $3,500 and $4,100. However back in December 2018, Bitcoin was traded under $3,200 for just a few moments, but it was not able to break under $3,000.
Now, there are several analysts that predict that Bitcoin did not reach a bottom yet and that before starting to grow again, Bitcoin would have to fall under $3,000. Bloomberg analysts said back in November 2018 that Bitcoin could reach $1,500. JP Morgan believes that Bitcoin’s price could reach $1,260.
The CEO of Three ARrows Capital, Su Zhu, said that every single time Bitcoin dropped to $3,000 big buy walls were formed on crypto-to-fiat exchanges. On the matter, Zhu said that 10% down from $3,300, buy walls on Coinbase were the largest since mid-2015. This is why Bitcoin would have needed larger selling pressure to break these walls.
— Su Zhu (@zhusu) December 12, 2018
Anthony Pompliano, a partner at Morgan Creek Digital, has also mentioned that Bitcoin could also register new lows and that the bear market could continue during the first half of 2019.
Bitcoin is currently being traded around $3,423 and it has a market capitalization slightly under $60 billion. In the last 24 hours, the popular digital asset fell 1.52%. However, all top 10 cryptocurrencies experienced losses in the last day. Some of them even falling more than 12% in just 24 hours.