If there is one discussion in the crypto investment world that does not seem to reach a consensus is whether Bitcoin has hit rock bottom. While some people believe that it did at the end of 2018, some others are more skeptical about it.
Will Bitcoin fall to under $2,000 USD or even under $1,000 USD? Or will it start its next bull run soon. A crypto analyst has been adamant in affirming that Bitcoin has already bottomed and that the crypto asset will only go up now. However, before we present his ideas, it is important to know what people are saying about the market.
Why would the market fall even further? Because of capitulation, which is when a market “surrenders”. This has led several analysts to affirming that BTC would fall to less than $2,000 USD after capitation happened.
A technical analyst, an internet personally known as “Financial Survivalism”, has recently affirmed that the longer BTC stays below the $4,600 USD price line the higher are the chances that the crypto could fall down again and go down even further.
If we are to believe Financial Survivalism, BTC could remain somewhat stable for more three to four months and then its prices would decline to $800 USD in the worst-case scenario. According to him, there is a fair chance that Bitcoin will end up reviving its $1,200 USD price, which was the point in which the bull run really began in 2017.
Another analyst known as Leah Wald has used the Hyperwave analysis technique in order to determine the future price of Bitcoin. According to her, the price of BTC will definitely hiut $1,500 USD before it is raised to $6,500 USD again. She even made a bet with another trade affirming that her analysis was the right one.
Murad Mahmudov, another important trader and analyst in the area, has the “impression” that Bitcoin going to less than $2,000 USD is not completely out of question. Although the likes of well-respected cryptocurrency trader Tone Vays has other thoughts of his own regarding where the bitcoin price is going.
PlanB Uses Technicals and Fundamentals To Prove That BTC Has Already Bottomed
Finally, here is the man that is going against the mainstream way of thought to determine what will happen with Bitcoin. PlanB, a famous internet crypto analyst, has affirmed that the technicals and fundamentals of the industry show that there is a good chance that BTC will remain with its price above $2,000 USD.
According to him, there are five pieces of evidence that can back up his optimism. The first one is that he believes that miners have already capitulated between November and December 2018, when the difficulty was diminished in 25%. Historical trends, according to him, would prove that this has a correlation with price.
Why #bitcoin will not drop under $2k:
1) Miners already capitulated (difficulty -25% Nov/Dec)
2) Too close to the Halving (14 months)
3) BTC never dropped below geometric mean ($2750)
4) BTC never dropped below 50% of stock-to-flow model ($5500)
5) RSI bottomed at (42) now rising pic.twitter.com/qJyFvKQcLQ
— planB (@100trillionUSD) March 5, 2019
Another important point is that we are very close to the next halving in the Bitcoin rewards (14 months). Once again, he uses historical trends in order to prove prices tend to increase as the rewards are about to be cut down.
The third important point made by him is that Bitcoin has never actually dropped below its geometric mean, which would mean that the price will not drop below $2,750 USD. It has also never dropped below 50% of stock-to-flow model and its relative strength index (RSI) has bottomed and it has started to rise again.
With all these arguments, he hopes to prove that Bitcoin will come back with full force in 2019. According to PlanB, there are very low chances that Bitcoin is doomed to go back to $2,000 USD and he is quite sure that if not 2019, in 2020 the currency will certainly achieve all its potential.