A popular cryptocurrency analyst under the pseudonym CryptoDonAlt believes that the rate of the first cryptocurrency may well continue to decline, despite some recovery after June 11.
The analyst notes that the bitcoin price chart broke down the upward triangle shape formed on small timeframes. This may be a sign that bitcoin is preparing for a further fall. The next support level is at $8,575.
«BTC. I see more and more opinions that bitcoin is unlikely to fall to the next support, because it will be too big a decline. But this is not how bitcoin works. The pullbacks are fast and strong, and the falls are even stronger. A 40% drop is quite likely, this has happened before and will happen in the future, ” the analyst said.
CryptoDonAlt stressed that even during the growth of the bitcoin exchange rate in 2015-2017, the rate of the first cryptocurrency at times significantly sank before conquering new peaks.
However, from a fundamental point of view, everything is going well for bitcoin: investors are beginning to see the first cryptocurrency as an analog of gold and invest in bitcoin to protect themselves from inflation.
The very behavior of bitcoin is very similar to the period after the halving of the reward for miners in 2016, which led to a record “bull” market in 2017. In addition, the volatility of bitcoin is significantly reduced, which also “plays into the hands” of the first cryptocurrency.
Analysts at Glassnode also believe that a multi-month “bullish” rally of bitcoin may begin in the near future.