- Bitcoin remains in an impeccable parabolic trend as long as it is not “manipulated by jack leg exchanges.”
- There is a huge chance that Bitcoin will reverse the trend below $3,800.
Bitcoin was on a downward spiral for the most part of 2018 except for a number of recovery moves that failed to break past critical levels. There were notable price drops in which the largest asset by market capitalization the extent that the moving averages lagged behind for a few months. At the same time, strong and key support levels like $10,000 and $6,000 were butchered severely.
However, there is an analyst that claims that Bitcoin is prime for an upward move and that it has massive potential for recovery. The analyst, Cane Island Crypto, who is the founder of Network value to Transport Transactions (NVT) recently took to Twitter saying that that Bitcoin remains in an impeccable parabolic trend as long as it is not “manipulated by jack leg exchanges.”
Cane Island Crypto predicts that Bitcoin will end the year trading at $7,800 and correct to $15,426 by the end of 2020. The manager of the Texas-based firm went ahead to say that Bitcoin only needs to maintain this trend to close 2022 at $52,321. Moreover, according to Ethereum World News, the analyst added that BTC could just under double that in a period of 12 months.
Bitcoin price confluence detector
Bullish predictions aside, Bitcoin price is still trading in the bearish flag pattern we discussed earlier today. The bulls are still working hard to ensure that the price does not react to the pattern and instead correct above $3,900.
However, at the moment, it appears that the bullish pressure and the bear pressure is canceling out. The initial resistance is seen at $3,895.72 with the following confluence of indicators: The 23.6% Fib retracement level daily range, previous high 15-minutes, the 5 SMA 15-minutes, the Bollinger Band 15-minutes chart upper, previous high1-hour, previous high 4-hour, pivot point 1-day R1 and previous 1-day. Other hurdles to look out for are $4,016.64 and $4,218.17.
If the bulls are unable to clear the above resistance, there is a huge chance that Bitcoin will reverse the trend below $3,800. A breakdown from the above-mentioned bearish flag pattern could lead to the price exploring the region below $3,700.
Meanwhile, support is seen at $3,815.11 with a confluence of the following indicators: Pivot Point 1-day S2, 10 SMA daily chart, Bollinger Band 1-day middle, 200 SMA 1-hour, 50-SMA 4-hour, 5 SMA daily chart and 100 SMA 1-hour.
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