Bitcoin has seen a lot of trends in the past 2 months as it reached the highest trade price in August and this month it had an unexpected downfall. Bitcoin bulls were trying to defend the price at $10,000 support levels when BTC broke down this week, and the price almost crashed towards the $8,000 levels.
In just a matter of a few hours, the price went down, and the bulls couldn’t save the downfall. For some time, the price jumped to $8,700 level before it decided to settle at $8,400. This stability at $8,400 looks tempting to the bulls, but Bitcoin has been showing unpredictable trends, so investing comes with huge risks.
Crypto analyst, Crypto Hamster, in a recent tweet, showed how Bitcoin might be headed for a direction where it may lose everything. The lower Bollinger band on bitcoin’s weekly chart is lower by a few percentage points in comparison with the current BTC price.
Bitcoin have NEVER dropped below the lower Bollinger Band on a bull market so far.
Now it is at ~7700$.
So, either ~8k is a bottom, or this is not a bull market anymore. $BTCUSD #bitcoin $BTC pic.twitter.com/1tNIoCzS9g
— CryptoHamster (@CryptoHamsterIO) September 25, 2019
Is it fair to say BTC bulls are gone?
Crypto Twitter from the past 48 hours has been talking about the downfall in the price, and they have been discussing the lack of historical analysis in the market.
If the selling pressure continues, we can expect the Bitcoin to break more than the historical pattern that was set in the previous cycles. The moving averages that signaled a bull market would be lost, technical indicators for long-term trading will turn red, and BTC will be negative into and out of a halving.
Hence, many investors and researchers say that it might be unfair to use the historical price models for today’s price action, and a weekly close below $8,000 will not mark the end of the Bitcoin.