In line with a recent analysis conducted by ‘Fundstrat’s Global Advisors analyst,’ Bloomberg reports that the yesterday’s collapse of major cryptocurrency Bitcoin [BTC] has pushed crypto markets into a “deeply oversold”phase,whereas“longer-term technical indicators aren’t also not seeming any favorable.”
Sluymerstatedthat Bitcoin [BTC]would beready tosupport a “multi-month rally,”howeversolelyoncethe “significant”harmdonein the weekhas been overcome:
Adding further it stated:
“This week’s breakdownmadeimportanttechnicalharmthat maypossibletake weeks, if not months, to repairto formasturdyenoughvalue‘structure’ to support a multi-month rally.”
Yesterday,the biggestcryptocurrency Bitcoin dipped below the $5,600 USD pricemarkforthe primarytime sinceOct.2017, breakinglong-standingrecent support of around $6,000 USD andtouchingmulti-month records of volatility.
Atraderat eWarrant Japan Securities K.K. in Tokyo, Soichiro Tsutsumi, in a recent interview told Bloomberg that the loss of $6,000 USD supportseems likea “dangerous sign” fortradeplayers,particularlythosewith “business modelsdependenton aclientpool.”
The recent crypto market slump hasconjointlyreportedly caused a declinewithin theshares of crypto-connectedfirms, including Japanese SBI Holdings and Monexgroup.EachMonexGroup, owner of crypto exchange Coincheck, and SBI Holdings suffered a slump ofquitetwop.cto shutat two-week lows inTokyo.
Fundstrat’s analysts haslatercommented that the year-end market trend is “stressed,howevernot broken,”in keeping witha tweet of CNBC journalist Carl Quintanilla.In line withQuintanilla, Fundstrat they claimed that they expect the “sectors hitthe toughestto leadinto YE,”which is able toresult ingrowth of stocks.
Even earlier in summer this year, Fundstrat’s head ofanalysisTom Lee reiterated his prediction that Bitcoin [BTC]is expected totrade somewhat in-between $22,000 USD to $25,000 USD by this year’send, Lee expressed content with the recent stability of Bitcoin [BTC], claiming that he expected its volatility to bea lot morehigher.
In earlyNov. this year, Galaxy Digital CEO Michael Novogratz claimed that Bitcoinshould“take out $6,800 USD mark”so asto hit $8,800 USD to 9,000 USD bythe endof this year. Heconjointlyforeseenthatthe largestcoinmayhit “$20,000 USD or more” in 2019.