After months of bullish momentum, bitcoin’s (BTC) price recently slowed down and started plunging. This dive began on September 24, where the leading coin in terms of market capitalization recorded a double-digit loss. Since then, the coin has failed to register any gains to offset this loss.
According to data from Coinmarketcap, BTC is trading at $7,918 (at the time of writing). This figure denotes a 3.13 percent plunge over the past 24 hours. Analysts believe that the number one crypto found support above $8,000 on September 29. However, it failed to go past this level. Instead, it plunged below $8,000 and found support near the $7,800 level.
While BTC has a record of recording gains in short periods, it is also notorious for plunging at lightning-fast speeds. At the moment, the coin is facing a 42 percent downward correction from its yearly high. A couple of months back, several analysts predicted that this correction was forthcoming. At that time, most of them believed that BTC would dip below the $8,000 level.
An Upcoming Bear Market
According to Josh Rager, a renowned crypto analyst BTC is set to plummet further.
He cited BTC’s historical data saying,
2013: Bitcoin bull market pulled back 75% over 89 days before a 1600% run-up to new highs later in the year. 2019: Bitcoin has currently retraced 42% over 91 days,
Rager noted that compared to the 75 percent plunge six years ago, the current 42 percent correction is not a big deal. However, he believes that BTC is set to face further price correction. In his opinion, the coin could dive further to hit the $6,000 level.
IMO, the lowest $BTC will hit: between $6300 to $6600 where there is major interest. Price currently bounced off monthly support & if this area breaks could head to $6600 – based on higher time frames,
While Rager has set his limit at $6,000, Alessio Rastani, another famed crypto analyst believes BTC could dive as low as $3,000.
According to him the 78.6 percent Fib retracement of the last wave from the lows of December 2018 to the high in June this year is important. This is because it presents a 30 to 35 percent chance of BTC slipping below the $5,000 to $5,433 level. When this happens, Rastani believes the possibility of BTC going below $3,000 and $2,000 will increase.
Altcoins Continue Seeing Massive Losses
As is the norm of the crypto market, BTC’s trend determines how altcoins fair. At the time of writing, most altcoins are bleeding. In the top-10 list of leading crypto coins, only ripple (XRP) is green. The biggest loser in the top-10 is BNB followed by BCH. ETH is down 1.96 percent in the day to trade at $168.89, while LTC has lost 1.78 percent to trade at $54.11.
Do you think BTC the current bear market might see BTC plunge below the $6,000 level? Let us know in the comments below.