A cryptocurrency analyst has noted that the cryptocurrency market is in for more bearish move and the recent gain should not be expected to last long.
The Cryptocurrency Market and The Recent Experience
The cryptocurrency market has taken the bearish trend since the beginning of the year. This has led to many cryptocurrency enthusiasts placing their hopes on the Bitcoin ETF approval for the market to make another bullish trend. However, the market has experienced over $500 billion shed in market value.
Many predictions have trailed the cryptocurrency market and most especially, the value of the top valued cryptocurrency, Bitcoin. Mohamad El-Erian, the Allianz Chief Economist, recently noted that Bitcoin’s value would get stabilized at $5,000. Meanwhile, cryptocurrency enthusiasts such as Tom Lee and Hermann Finnbjörnsson expects a bullish move to start soon. In Hermann opinion, Bitcoin will rise to $10,000 by the beginning of November.
The recent condition of the cryptocurrency market saw it take a frenzy bear from over $7,000 to $6,000 in the past week, while it has been stabilizing and gaining strength to $6,400 in the recent days due to the report that Morgan Stanley was on the brink of offering cryptocurrencies.
The addition 2.80% rise in value is a worthy note that might spark speculation of another bullish trend of the cryptocurrency market. However, Jani Ziedins of CrackedMarket stated that the surge would be short-lived.
Why The Crypto Surge will not Last According to Jani Ziedins
Jani Ziedins noted that Bitcoin keeps slipping and it barely holds $6,000 support. He pointed out that last week’s rebound to $7,400 is dead and only gave another signal of a lower high since the previous $8,400 bounce was not reached. The lower high is a testament that the next lower low is around the corner according to him. This he analyzed in a blog post.
Further, he said that the bears are still in control of the market, and it’s still an opportunity to sell. However, the worst is still ahead he noted.
Jani Ziedins opinion is based on the technical analysis of the Bitcoin cryptocurrency. Notable predictions of Bitcoin had earlier stated that the cryptocurrency would plunge to the $2,500 mark this year or even lower.
Regardless of opinions and views, time will justify the event whether it will rise or fall.