Talking on CNBC yesterday, Fundstrat’s Robert Slyumer has given his opinion on the BTC charts. He believes that the present Bitcoin downtrend can solely be reversed if the coin creates a short-term break, by way of the $6,300 mark.
The Bitcoin analyst studied the Bitcoin 15-day transferring common charts from Might and mentioned:
“It truly is a no-man’s land from a buying and selling standpoint. I believe for those who’re a really short-term dealer… now we have a important cease stage on the $5,800-6000… with a resistance stage of $6,300-6400. If it may rally by way of that, I believe there’s an opportunity Bitcoin might begin to flip.”
Bitcoin Downtrend: The Transferring Common Charts
A 15-day transferring common chart is an efficient indicator of market traits and can assist forecast whether or not market development is optimistic or detrimental. Slyumer appeared again over Bitcoin’s 15-day transferring common charts going again to 2017.
These charts indicated that the crypto markets have proven progressively greater lows. A “very important help” for the coin got here on the $7,000 stage this yr and Slyumer centered on this level as a turning level. As a result of Bitcoin misplaced this help stage and equally did not cross the $7,800 resistance threshold on the upside, it created “decrease highs” and started an total downtrend.
Bitcoin is at the moment defending the $6,000 stage and is buying and selling beneath its 15-day MA trendline for late 2017, early 2018.
In Slyumer’s opinion, $5,800-$6,000 is now the “completely important” help stage for Bitcoin. If it fails to carry then the coin will decline additional to the $5,000-$5,500 vary. Till we see the coin holding above this help stage then the downtrend is inevitably going to proceed.
Tom Lee Predicted In any other case
Tom Lee’s prediction that Bitcoin will attain $25,000 this yr might be a troublesome rally for the coin in Slyumer’s opinion: “At this level, we’re simply seeing restoration rallies again to the 15-day, again to the downtrend, and it’s failing.”
Different main buyers have additionally made comparable predictions for Bitcoin value – notably billionaire Tim Draper who thinks the coin may attain $250,000 by 2022.
For now, although, Bitcoin is at the moment buying and selling just below $6,100. The coin is down 9 p.c from the start of the week.
Featured Picture: DepositPhotos.com/ANDRANIK2017