The bitcoin market has been so impressive these past few days. The leading cryptocurrency began the week at around $9,200. Moreover, it now trades at $9,700 after being able to benefit from a rally in the Ethereum’s price. Nonetheless, an analyst still thinks that a drop to $7K is still possible.
While looking at the recent price action, analysts are saying that Bitcoin will definitely see a big move higher reminiscent of October 2019. However, everyone is not convinced that would be the case.
Bitcoin Drop to $7K Is Still Possible, Analyst says
An analyst, Bob Loukas, is not totally convinced that the asset would break from here. He has been covering Bitcoin prices for years.
While referring to a chart, he said that Bitcoin could still drop towards the $7,000 as it faces strong resistance overhead.
Bob Loukas is not the only trader that thinks a correction could happen before Bitcoin breaks into a macro bull market.
Last week, a trader shared a chart, saying Bitcoin will likely experience “one last set of cycle lows” before having a new all-time high.
Furthermore, the trader who said Bitcoin would bottom at $6,400 in 2019 also says that Bitcoin could move to the $6,000s and $7,000 once again.
Expansion is Coming
Analysts have divided opinions regarding how Bitcoin trends in the weeks ahead. However, most of them agree that the trading range will soon expand. Moreover, a big number of analysts anticipate volatility to soon rise dramatically.
As reported over the recent weeks, Bitcoin has effectively flatlined. In some instances, volatility indicators have experienced multi-year lows. Those indicators include the width of the Bollinger Bands and the historical volatility index
Nonetheless, while looking at the recent price action, one can say there has been growing anticipation of a move for expansion. It will then determine Bitcoin’s medium-term trend.
On July 25, 2020, a certain trader commented: