- Bitcoin has been clamped within the $19,000 zone with the last few days as trading volumes deplete.
- This declining volume has led to the consensus among prominent market analysts on the imminent nosedive to $16,000.
Bitcoin price seems to be responding accordingly as many expert traders appear to have agreed to the downward market outlook to be expected in the short term.
Of late, it is likely that market participants have become more risk-averse as the recent increase in Bitcoin dominance is accompanied by this correction, implying a faster decline in altcoins' prices. Market behaviors such as this are characterized by a further sell-off.
However, the question of how low we could possibly go in this correction continues to linger among many market participants.
Cryptocurrency market analyst tend to agree to the bearishness for Bitcoin
Popular Trading expert, Crypto Michaël, anticipates a further acceleration of a downward trend. Michaël has been paying close attention to the $17,000 support level and expects BTC price to consolidate around this region for a while. He added that if BTC breaks out above this area, then a bullish divergence could trigger a rerun for $18,500 as the next target.
Taking a look at the daily chart, he anticipates that prices could plummet to $16,000 if the $17,800 support level is lost.
BTC/USD Daily Chart
Renowned cryptocurrency chartist CryptoCred affirmed this bearish market outlook in the short term, saying that failure to make a strong rebound from the present level could send the price to $16,000. CryptoCred said he hopes to go long if BTC comfortably surpasses $18,190.
Another cryptocurrency market analyst, Fiat Jack, revealed $19,287 which was 2017's highest weekly close as a significant resistance level to watch out for.
— //Fiat ack (@BTC_JackSparrow) December 9, 2020
Jack pointed out $16,500, $13,500, and $12,000 as the next targets that would mark the most significant sell-off price range if the present hurdle is breached.
The line to watch... pic.twitter.com/aYtGiYhWEW
— dave the wave (@davthewave) November 8, 2020
Davethewave, who is also a veteran trading professional, supported these bearish predictions. According to him, previous short term surges have always been followed by a fall or a consolidation, making the case that investors should be prepared for both scenarios.
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