Elliot Wave Trader Avi Gilburt Predicts Bitcoin (BTC) Price Low Of $4,700
BTC has had a long nine months bear market that has seen the digital currency drop from a high of $19,000 to its current price. This decline is said to be worse than the one that culminated after the dot-com bubble burst.
According to Gilburt’s analysis, BTC is approaching its rock bottom. His analysis of price movements in the last nine months shows a pattern in which the currency might go as low as $4,700. According to his prediction, before it reaches to that level, it will oscillate between $5000 – $6000 range for some time.
Even though Gilburt has not given specifics in matters to do with time, his associated graph indicates that the coin would hit the bottom around December this year. He also pointed out the fact that Bitcoin, like all digital currencies is volatile and warned that mitigating factors could push the coin to second downturn and push it lower to about $3000.
However, considering the rising interest of various institutions in stock market trading tools of BTC, this downturn might not happen. Gilburt says that such a low might fail to occur considering this interest. Introducing traditional stock market capital to the digital currency industry will increase the market’s liquidity and push up the coin’s value. The disadvantage though, is that this move will also bring about fresh volatility and add more hindrances to mass adoption.
Another prediction by Fintech research firm Trevis, indicates that BTC will probably rise to $8500 by December this year. This rise in price will be possible if the coin’s movement happens in a short duration of faster time scale. For this prediction to turn out true, BTC will have to first bottom out at around the beginning of November, then start climbing gradually as from December.
There are some new developments that could interfere with the price movements in the short-term. These developments include U.S. Securities and Exchange Commission (SEC) move on Bitcoin ETF’s, the ever-tightening Chinese restrictions and regulations, Coinbase custody services as well as the continued growth in the CBOE and CME futures market.
In the past few weeks, there have been several unexpected spikes and dips in the digital currency market. Most altcoins have lost up to half their value in the August trading period, and rallied up 20% in the last week. Bitcoin has also been on the losing side, going down 15% due to over-valuation. Despite this down turn, BTC has been the strongest performing of this industry and the least volatile asset of late. The coin experienced a small dip earlier this morning but has since stabilized at $6,500.