Decentralize: Where is the price of Bitcoin headed?
Nicolás Litvinoff, Director of Student, performs a technical analysis live to explain where the price of Bitcoin is heading.
Bitcoin price is always one of the most important topics of debate within the crypto world. That is understood when you see the great influence that the world’s first cryptocurrency has on other crypto assets. Which are normally carried by the price variations that BTC experiences. For this reason, one of the most important papers of the online event DescentralizAR was given by Nicolás Litvinoff, director of Estudinero, who explained where the price of Bitcoin is heading.
Bitcoin’s long-term price
To open his presentation, Litvinoff made clear some important points to understand the behavior of the Bitcoin market. Starting with the difference in their trends in the short and long term. Well, as Litvinoff explained, although in the short term the behavior of BTC may seem “random”. In the long term, virtual currency follows much clearer and more stable trends.
This situation occurs due to the size of the Bitcoin market. And it is that, being a relatively new financial asset, and without levels of mass adoption as important as traditional fiat money. The movements of the main market players greatly influence the conjunctural behavior of the virtual currency.
Something that will not happen when the Bitcoin market reaches maturity, with a much larger capitalization, and more participants. This will prevent any movement made by a whale from destabilizing the market in the short term. Although in the long term the cryptocurrency remains quite stable, and therefore it is easier to predict where the price of BTC is heading.
Where is BTC headed
Thus, when analyzing the graph of the Bitcoin market in the long term since 2016, Nicolás shows that there is a clear upward trend. Which, although it has had weeks in which the price of the currency has broken the upward or downward trend. These breaks have not managed to accumulate the minimum three weeks for it to be considered that there is a break in the uptrend.
In this way, and from the point of view of the financial analysis, after the tests that were carried out on the price of Bitcoin during the collapse of the price at the arrival of the Coronavirus in the West. The coin has reached a very interesting point above $ 11,000.
Thus, Litvinoff explains that on the upside, Bitcoin faces resistance at $ 11,400 and $ 12,775. And if it manages to overcome them, it could go to $ 13,800-13,900 very quickly, although it does not think it will increase beyond there. This despite the fact that this trend would recall the behavior of the cryptocurrency during the great bullish rally of 2017.
Meanwhile, on the downside, Litvinoff sees a double bottom for Bitcoin, first technical and psychological at $ 10,000, and then at $ 8,500. For him, the fact that BTC falls back to these levels would not really be a problem, but could even be an opportunity to enter the market.
The really crucial floor is that of $ 7,800, which if broken would cause Bitcoin to lose a lot of strength, and would put it at risk of falling below $ 6,000, which would break the long-term uptrend if it stays there for three weeks in a row.
Disclaimer: This press release is for informational purposes information does not constitute investment advice or an offer to invest. The views expressed in this article are those of the author and do not necessarily represent the views of infocoin, and should not be attributed to, Infocoin.