Bitcoin’s move below support of $7,800 after a month of consolidation gave bears and critics ammunition to cheer. Some are even claiming that the king of cryptocurrencies is dead just in time for the spooky season.
Finance Twitter influencer called the death of bitcoin. | Source: Twitter
Bitcoin haters can make all the noise they want but the number one cryptocurrency is not going anywhere. It might go on another selloff but it will eventually regain its bullish composure. One crypto trader believes that bitcoin is likely to face one more leg down before it finally reverses its trend.
Trader Max: Bitcoin to ‘Moon in Disbelief’
On Sept. 25, trader Max, AKA Ethereum Jack, took to Twitter to share his medium-term analysis on the dominant cryptocurrency. At the time, bitcoin was trading above $8,400. The trader and market analyst wrote that if the cryptocurrency was to resume its uptrend, it must recover $9,200. Otherwise, it might plunge all the way down to support of $6,250.
At $6,250, the trader predicted that many retail traders will capitulate only to see the cryptocurrency “moon in disbelief.”
A thread started a month ago has become more relevant. | Source: Twitter
Wednesday’s bitcoin nosedive eliminated the first scenario laid out by trader Max. Now, he believes that the cryptocurrency is in a downtrend and that people should “trade the trend.”
Bitcoin appears to be following trader Max’s script. | Source: Twitter
What’s interesting about bitcoin bottoming around $6,000 is that it allows the dominant cryptocurrency to convert a previous resistance into support. The widely-followed trader Hsaka agrees. To the analyst, a move down to $6,000 is an example of symmetry.
$6,000 is a key level for the cryptocurrency. » Read Full Article «