- A crypto trader points out to the fractal of Bitcoin
- NebraskanGooner says Bitcoin’s fractal is predicting a potential decrease of 18 percent
- Bitcoin’s weekly chart is still bearish
Bitcoin News Today – There are many bearish predictions around Bitcoin (BTC) because of its recent price trend. The recent plunge to the $6,500 level, earlier this month, caught many crypto traders aback. The majority of traders and analysts never expected the digital currency to plunge that much. Some analysts predicted the subsequent bounce to $7,800, as the digital currency is trading below that range at the moment.
One crypto trader has been calling the moves all along. The trader is using slightly unorthodox and less known methods of analysis to predict the direction of Bitcoin (BTC) and the digital currency market.
Bitcoin (BTC) Price Today – BTC / USD
Bitcoin’s Historical Price Pattern Implies a Dip of 18 Percent
Over the past couple of months, NebraskanGooner – a popular crypto trader on Twitter – has been flaunting what is known as ‘fractal’ through his social media handles. In the financial markets, a fractal is when the historical price direction or pattern of an asset is reflected or seen again on a different timeframe or/and for a different asset. Some analysts consider them a pure coincidence. Nevertheless, several analyses have found that fractals work very well for Bitcoin (BTC) and other digital currencies, possibly because of the inherent cyclicity of the market.
The fractal predicted the recent heavy plunge in the price of the digital currency to $6,500 a few weeks prior to the dip. It also predicted the subsequent recovery to almost $8k seen about a week or two ago. According to NebraskanGooner, the fractal is showing that Bitcoin is about to fall off a rash cliff in the following week or next. He said that this plunge might bring the digital currency down to the $6,200 mark, or even lower. This would represent a decrease of 18 percent from its current levels.
Bitcoin’s Weekly Chart Still Looks Bearish
In another post, the analyst pointed out that the weekly chart of Bitcoin looks bearish again regardless of the fact that it recently made a slight recovery. According to the analyst, Bitcoin failed to break the crucial 99-week SMA and a horizontal zone of resistance. He also added that the ‘increased buyer volume’ narrative is a clear contradiction and the on-balance volume indicator saw a bearish retest.
With that in mind, the digital currency analyst said that he expects Bitcoin (BTC) to see a ‘slow bleed’ lower. He said that the digital currency would later experience a fast dip with rapid absorption in the $6k zone.