Users Should Be Wary As Bitcoin Might Fall To $1000 USD, Affirms Wall Street Expert
Steve Sosnick, the Chief Options Strategist of Interactive Brokers, has quite a few bleak predictions for Bitcoin right now. According to him, this unpredictable market might see some bad times shortly into the future.
The expert affirms that the Bitcoin market is quite volatile now, as it has been for quite some time and, after breaking the barrier of the $8000 USD and falling again to the $6000 range, there is space for the token to fall a lot more shortly.
According to him, the reports show that most of the reasons why Bitcoin has been losing its price are because the United States Securities and Exchange Commission (SEC) has rejected to implement Bitcoin-backed Exchange Traded Funds (ETF), which caused mass selling of Bitcoin.
Sosnick believes that technical selling is, more and more common in the Bitcoin market right now. Technical selling is using real-world data from the crypto market to decide whether you should buy or sell tokens and predict price changes. Recent market researches show that technical selling is a trend that will not stop soon and the recent changes in the price of Bitcoin are proof of that.
The Fate OF Bitcoin ETFs To Be Decided In September
As the SEC has postponed the final decision on whether many Bitcoin ETFs will be accepted or not, the major event for the currency in the market will happen then and will mark the future of Bitcoin.
Because of this, Sosnick stated that Bitcoin bulls should expect that the price remains close to $6000 USD because if it falls, it might fall a lot. According to him, there are three major similarities between the current Bitcoin market and the Nasdaq Dot-com bubble crash.
The charts show that both these events had a steady hike over a distributed time period, which allowed the users to think about the growth prospects and then invest, a second phase in which a lot of intermediate users simply jumped in, which caused the prices to rise quickly and, finally, a downturn in which holders get wary and the prices start to go sporadically down.
Bitcoin Prices Might Fall To $1000 In The Long Run
According to Sosnick, there is a good chance that the Bitcoin prices may fall to $5000 USD in short term or even a lot less than that over time, maybe even reaching the $1000 USD mark. Going back to his comparison between Bitcoin and the Dot-com bubble, Sosnick affirmed that the predictions are not very good to Bitcoin, as there is a very apparent price slide right now.
He also stated that there might be another positive increase in price and that it might go up to even $6900 USD, but that it may decline again after that, which should make the holders wary.
At the time of this report, Bitcoin was trading at about $6060 USD and the prices had fallen 6 percent in the last 24 hours.