Bitcoin (BTC) made a bearish turn last week as the price recorded a value less than $9,000, the first time since the halving event that occurred on May 11 and has since failed to break above the $9,300 mark throughout the week. One of the leading exchanges around the globe, Coinbase announced that they suffered a massive dip when Bitcoin dropped from $9,000 to $8,630 which signified a 4% loss for the company that could only account for $1.94 billion in real trading volume. The massive dump on Coinbase was calculated by crypto analyzing firm, Coin Metrics on Twitter where they stated that the cause of the massive dump was yet unknown.
Analyst says Bitcoin can reach $20,000 in the coming weeks.
Bitcoin investor and analyst, Charles Morris has said that Bitcoin doesn’t have the will to do well yet in the market and maybe a dump of the leading crypto by small scale hodlers would propel a massive upward price surge. He stated that if it happens, Bitcoin will make get high demands and a price surge as high as $20,000 in the coming weeks. Bitcoin has tried and failed numerous times across the weeks after the halving to surpass the $10,000 resistance limit that was set for the coin with $9,800 the farthest the crypto has achieved.
The exchange balance of the leading digital asset crashed after a massive sell-off was witnessed in March and has continued to drop at a slow pace after that. Market analysts have concluded that the reason the digital asset is witnessing this turbulent time is that most people are holding their assets. Research carried out by Arcane Research has shown that the recent activities that the OTC markets have witnessed are the major reason for the dip.
Bitcoin could retest the $7,500 region.
If Bitcoin fails to move past the new $9,200 resistance, it means the coin would go below $8,000 and by previous trends, and it could retest the $7,500 region. “Lose that, and I will have to be open to a much larger correction across the board,” Trader, crypto credible said. “Doesn’t look too good. Interesting to me how we haven’t taken out any of those highs considering how close price got to them. Reminds me how clean the LHs were following the 20k top. Until we get a HH, good idea to short near the highs/take profit on longs” he further said.
Analyst Altcoin psycho has said that the drop in price shows that Bitcoin could move in the $7,500 region. Weekly supports are already weak, but he says it could support the price in the coming weeks.