Earlier this month, the price of bitcoin slumped down to $6,500, which was a six-month low for the leading cryptocurrency. The short term prediction for the price of bitcoin is still quite bearish. Several analysts have predicted that bitcoin could drop below $7,000 once again before gaining any positive momentum.
“Bitcoin to see a slow bleed from here.”
Crypto trader Mexbt tweeted that he is currently short on bitcoin from $7575 and reckons the price will drop to $6,900 to potentially complete this inverse head and shoulder bottom. He also added that bitcoin would exit this channel by Feb-March 2020. Mexbt is not the only analyst who made a bearish prediction about bitcoin in the short term. Several traders are predicting a move to return under $7,000. Another trader tweeted that he expects Bitcoin to see a slow bleed from here.
We ran the lows and took the highs on the next candle of this range.
If anything I think we just get a slow bleed from here. pic.twitter.com/gsAiXrrFyz
— Rampage (@Thrillmex) December 25, 2019
I'm currently short Bitcoin from $7575. Targeting $7.2k (CME gap) then $6.9k to potentially complete this inverse head and shoulders bottom, and exit from this channel around Feb-Mar 2020 🚀 pic.twitter.com/Y52MTIcmZS
— mexbt (@stackxbt) December 23, 2019
China continues to crack down on crypto businesses.
Earlier this month, China announced to crack down on crypto businesses in the country, which coincided with the crashing price of bitcoin. As reported earlier, Chinese authorities confiscated nearly 7,000 bitcoin mining rigs in the city of Tangshan. Several crypto businesses shut down completely or stopped providing services to local users. At the time of writing bitcoin is changing hands at just above $7,100.