After the price of bitcoin recovered from a crash to $63,000 during the past week, expectations are that the uptrend could continue. This has created predictions for a future rally, and as a result BTC price may rise above $70,000. However, one analyst threw a wrench into the move, predicting that another crash could happen. This could lead to an eventual bottom, but indicates that much lower prices will come first.
The final diagonal that suggests Bitcoin is going down
EduwaveTrading published an analysis on the TradingView website that paints a very bearish picture for the price of Bitcoin, at least in the short term. This prediction is related to the fact that Bitcoin has not reached the previous speed, and this may mean that another wave is coming to hit it.
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As a result of the low blow, the crypto analyst suggests that Bitcoin could fall into an expanding diagonal closing pattern. This pattern, despite the recovery, points to another possible downward move. This move would be the start of a deeper trend that would send it to new yearly lows.
The low target here is just above $62,000 and could be a price magnet at this point. If the expanding diagonal pattern is fulfilled, it means that there is one more water left. After breaking the lows, the analyst notes that Bitcoin may fall further below $59,000 before finding support.
Given this pattern, the crypto analyst suggests that investors may wait for this next flood before committing. Only then will it be “safe” to enter Bitcoin to prevent further losses.
BTC is still very low
Like EduwaveTrading, another crypto analyst, Behdark, has predicted that Bitcoin will see another crash. This time, the analyst points to a decline in the downtrend, which indicates that the forward momentum has decreased, suggesting that Bitcoin is still very low.
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If the sellers continue to hold firm, then the crypto analyst sees Bitcoin falling to $61,000, which is in line with the low momentum indicated by EduwaveTrading. Both of these analyzes together say that there is a high probability that the price of BTC will see a strong move down before establishing enough support to continue up again.
Featured image from Dall.E, chart from TradingView.com
