{"id":59561,"date":"2020-01-19T22:20:20","date_gmt":"2020-01-19T20:20:20","guid":{"rendered":"https:\/\/en.ethereumworldnews.com\/?p=59561"},"modified":"2020-01-19T22:30:18","modified_gmt":"2020-01-19T20:30:18","slug":"after-7-crash-analysts-expect-further-bitcoin-price-drop-heres-why","status":"publish","type":"post","link":"https:\/\/en.ethereumworldnews.com\/after-7-crash-analysts-expect-further-bitcoin-price-drop-heres-why\/","title":{"rendered":"After 7% Crash, Analysts Expect Further Bitcoin Price Drop: Here&#8217;s Why"},"content":{"rendered":"<p>Late last week, <a href=\"https:\/\/en.ethereumworldnews.com\/category\/news\/latest-bitcoin-btc-news\/\">Bitcoin (BTC)<\/a> finally broke out after days of consolidation, surging above $9,000 for the first time in weeks. At the high yesterday, the cryptocurrency was changing hands for $9,200, <a href=\"https:\/\/en.ethereumworldnews.com\/bitcoin-price-exploded-43-percent-higher-more-gains-coming\/\">up some 40% in a month&#8217;s time as reported by Ethereum World News just the other day.<\/a><\/p>\n<p>But, on Sunday, BTC suddenly fell off a cliff. Within a few minutes&#8217; time \u2014 yes, literally a few minutes \u2014 the leading cryptocurrency slipped by 7%, plunging from $9,150 to $8,600 (as low as $8,450 on some crypto exchanges).<\/p>\n<p>This drop has made some analysts think that more pain is on its way.<\/p>\n<h2><strong>Bitcoin Analysts Fear the Worst<\/strong><\/h2>\n<p>As <a href=\"https:\/\/twitter.com\/CryptoParadyme\/status\/1218978316243259392\" rel=\"nofollow noopener\">pointed out by<\/a> cryptocurrency trader CryptoParadyme, this move has seen Bitcoin see a clear rejection at the three-day Ichimoku Cloud, with the price failing to even enter the key price range marked by the indicator.<\/p>\n<p>This could be seen as a bearish sign, for the Cloud will trend lower in the coming days. The rejection suggests BTC could follow the indicator lower in the coming weeks.<\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">Ichimoku lesson of the day. The cloud is resistance until proven otherwise. <a href=\"https:\/\/t.co\/snnT3OxZFS\" rel=\"nofollow\">pic.twitter.com\/snnT3OxZFS<\/a><\/p>\n<p>&mdash; D\u1e8fm\u0119\ud83d\ude10 (@CryptoParadyme) <a href=\"https:\/\/twitter.com\/CryptoParadyme\/status\/1218978316243259392?ref_src=twsrc%5Etfw\" rel=\"nofollow noopener\">January 19, 2020<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>This <a href=\"https:\/\/twitter.com\/CryptoHamsterIO\/status\/1218872832953733120\" rel=\"nofollow noopener\">skepticism was echoed by trader CryptoHamster,<\/a> who drew attention to a number of bearish signs the cryptocurrency&#8217;s chart has seen over the past few days: BTC&#8217;s price saw another clear rejection at the key 200-day simple moving average, the trend indicator Fisher Transform has seen a bearish crossover for the first time in a while, and the BitMEX funding rate has been positive for a while, implying bulls may be overextended.<\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">Bearish divergencies and the rest played out (a short squeeze and a dump).<br \/>Bulls:<br \/>\u2013\u00a050% Fibo pull back<br \/>\u2013\u00a0might be a long squeeze (fake breakout of the wedge)<br \/>Bears:<br \/>\u2013\u00a0200MA rejection<br \/>\u2013\u00a0Fisher Transform bearish crossover<br \/>\u2013\u00a0Funding Rate is negative for a while<a href=\"https:\/\/twitter.com\/search?q=%24BTC&amp;src=ctag&amp;ref_src=twsrc%5Etfw\" rel=\"nofollow noopener\">$BTC<\/a> <a href=\"https:\/\/twitter.com\/search?q=%24BTCUSD&amp;src=ctag&amp;ref_src=twsrc%5Etfw\" rel=\"nofollow noopener\">$BTCUSD<\/a> <a href=\"https:\/\/twitter.com\/hashtag\/bitcoin?src=hash&amp;ref_src=twsrc%5Etfw\" rel=\"nofollow noopener\">#bitcoin<\/a> <a href=\"https:\/\/t.co\/cHwXAe5Gv2\" rel=\"nofollow\">https:\/\/t.co\/cHwXAe5Gv2<\/a> <a href=\"https:\/\/t.co\/8DChOzbVln\" rel=\"nofollow\">pic.twitter.com\/8DChOzbVln<\/a><\/p>\n<p>&mdash; CryptoHamster (@CryptoHamsterIO) <a href=\"https:\/\/twitter.com\/CryptoHamsterIO\/status\/1218872832953733120?ref_src=twsrc%5Etfw\" rel=\"nofollow noopener\">January 19, 2020<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Not to mention, his chart shows that Bitcoin is on the verge of falling out of a rising wedge, which would suggest a deeper correction is on the horizon.<\/p>\n<h2><strong>Could It Actually Be Bullish?<\/strong><\/h2>\n<p>While there are the aforementioned bearish arguments, some are leaning bullish.<\/p>\n<p>An analyst going by Thrillmex touted this optimism, <a href=\"https:\/\/twitter.com\/thrillmex\/status\/1218932181634101248\" rel=\"nofollow noopener\">posting<\/a> a tweet in the wake of the dramatic collapse. He showed in his tweet the BTC quickly wicked higher on the four-hour chart after briefly tapping the key supports at $8,463 and $8,577, implying something of a swing failure pattern or a &#8220;long liquidity hunt.&#8221;<\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\"><a href=\"https:\/\/twitter.com\/search?q=%24BTC&amp;src=ctag&amp;ref_src=twsrc%5Etfw\" rel=\"nofollow noopener\">$BTC<\/a><\/p>\n<p>If we are truly bullish this should just be the awaited long liquidity hunt before we continue to push higher. <\/p>\n<p>If we continue to grind down and close below then heliumbot.exe is over.<\/p>\n<p>Will watch new market conditions which will dictate longs\/shorts. <a href=\"https:\/\/t.co\/mWDqFPHT5W\" rel=\"nofollow\">pic.twitter.com\/mWDqFPHT5W<\/a><\/p>\n<p>&mdash; xC\u00e6sar (@PARABOLIT) <a href=\"https:\/\/twitter.com\/PARABOLIT\/status\/1218932181634101248?ref_src=twsrc%5Etfw\" rel=\"nofollow noopener\">January 19, 2020<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>While this long bottom wick isn&#8217;t indicative of a reversal, the fact that BTC managed to close the candle above the aforementioned supports shows that not all hope is lost for bulls.<\/p>\n<p>Others pointed to the fact that markets cannot go up forever, making this drop potentially just a short-term correction before a move higher yet again.<\/p>\n<pre>Featured Image from Unsplash<\/pre>\n","protected":false},"excerpt":{"rendered":"<p>Late last week, Bitcoin (BTC) finally broke out after days of consolidation, surging above $9,000 for the first time in weeks. At the high yesterday, the cryptocurrency was changing hands for $9,200, up some 40% in a month&#8217;s time as reported by Ethereum World News just the other day. But, on Sunday, BTC suddenly fell off a cliff. Within a few minutes&#8217; time \u2014 yes, literally a few minutes \u2014 the leading cryptocurrency slipped by 7%, plunging from $9,150 to [&hellip;]<\/p>\n","protected":false},"author":32,"featured_media":59294,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[800],"tags":[188,6971,83,162,111],"_links":{"self":[{"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/posts\/59561"}],"collection":[{"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/users\/32"}],"replies":[{"embeddable":true,"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/comments?post=59561"}],"version-history":[{"count":0,"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/posts\/59561\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/media\/59294"}],"wp:attachment":[{"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/media?parent=59561"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/categories?post=59561"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/en.ethereumworldnews.com\/wp-json\/wp\/v2\/tags?post=59561"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}