Macro Bitcoin (BTC) Price Trend Implies $5,000 Still Likely: Analyst
Due to this move higher, many thought that the bear trend was over, citing the fact that Bitcoin bounced off key support in the mid-$6,000s range, which acted as key levels in previous moves over the asset’s history. He noted that the recent move to $7,800 was bearish for a number of reasons: BTC was unable to put in a decisive close above the key 100-week simple moving average and is now being rejected by that same level; the next notable support level, the 200-week simple moving average, is in the $5,000s; the price is currently forming a trajectory to put in a double bottom/Adam Eve pattern in that range; the cryptocurrency remains below the “ultimate resistance” of the 20-week exponential moving average and below the upper bound of a descending channel that has been depressing Bitcoin for the past six-odd months.
This confluence, his chart implies, will bring Bitcoin down to the low $5,000s by early 2020, which would mark the bottom before a reversal to the upside. Mac argued that this will be the “ultimate bottom” due to a confluence of key supports: the double-month volume-weighted average price, a “price inefficiency fill” level, and the 200-week moving average.