- Bitcoin has been in the red zone over the past day, plunging by more than 4 percent
- BTC has been experiencing a rollercoaster ride this year
- Bitcoin fractal signals an imminent crash, more painful sideways
Bitcoin News Today – The price of Bitcoin only broke out of a tight range recently, causing a massive uptrend and pushing the price of the asset over $12k. While the sideways trading of the digital currency seems to have come to an end at the moment, a fractal is appearing on the price charts of the digital currency suggesting that a crash is on the way.
This Year Has Been a Rollercoaster for Bitcoin
This year, 2020, has been a rollercoaster for the world’s largest digital currency by market cap. The digital currency has had its fair share of upside and downside movements this year. It went from trading around $6,500 to $10,000 and then plunged to around $3,800 in the Black Thursday. Less than a week ago, the price of the digital currency broke over the $12k mark and analysts are expecting it to make a move towards the $13,800 mark before attempting to return to its all-time high of $20k.
Nevertheless, the bulls might be getting far ahead of themselves with more upside moves soon. The volatility in the crypto space seems to back, but another boring lull might be ahead. Recently, a fractal that resembles the previous consolidation phase appeared, mimicking the previous price action. The price of the digital currency might crash soon if the price action continues to follow the fractal.
Bitcoin (BTC) Price Today – BTC / USD
Bitcoin Fractal Signals a Possible Short-Lived Crash Is Imminent
At the time of writing, the benchmark digital currency is deep in the red. The digital currency has been on a downward trend over the past couple of hours. Bitcoin is currently changing hands at $11,320 after a decrease of more than 4 percent over the past day.
According to the price chart of the sideways fractal, a continued plunge to below $11k is likely to occur over the next few days, which would be accompanied by a rally to new highs. The crypto market will experience slow and sideways trading until volatility fades again, and another upside move occurs.
A fractal is a polarizing subject – some analysts say they just cloud bias while others dig deep to discover them. Nevertheless, adding more credibility to this theory is a similarly recurrent pattern following the last bottom of Bitcoin.
The digital currency experienced similar sideways trading in late 2015 to early 2016. BTC was locked in a tight trading range for several months before strong expansion. Some analysts are now expecting the digital currency to correct lower before it would amass more gains and test new highs.