It is only just a few weeks since the Bitcoin (BTC) community began to breathe a sigh of relief in anticipation that the bearish pattern may be well over. As of January 3, an elevated technical indicator suggested that Bitcoin (was in its longest buying streak in the last six months). Digital currency proponents were rejoicing. Bitcoin’s (BTC) price ultimately arrived at $4,000, a level described as a “titanium resistance position.” One week on and the crypto winter has returned in full swing.
Bitcoin (BTC) Price Today – BTC / USD
Bitcoin (BTC) on a Freefall Once Again
It appears that the world’s largest and favorite digital asset is reportedly in a freefall again. There were shouts of hysteria and obvious anxiety during the Bitcoin (BTC) financial press.
Looking at the GTI VERA Convergence Divergence Technical Indicator, Bitcoin (BTC) largest cryptocurrency by market capitalization entered a new selling pattern today which would be the first time since November 2018 that the digital asset attained this trend. The last time a similar sell signal was sent, the Bitcoin (BTC) price tumbled by about 50% from $6,280 to $3,156 against the USD in only a two-week period.
Vinny Lingham a South African Internet entrepreneur, who is also the CEO and co-founder of Civic, is the first Blockchain executive to speak on the matter. According to Lingham:
“If we break below the $3,000 position for Bitcoin, the crypto winter will turn a crypto nuclear winter. Typically Bitcoin (BTC) bear markets do not end when the market shows there’s a bottom. They end when the market shows no signs of a bottom.”
Talks of a Crypto Nuclear Winter Has Raised Serious of Concerns
After startling everyone on social media platform Twitter with his remarks, reporters discovered a recent interview that actually sheds more light on Lingham’s concern about the top asset class:
“The reality is that digital assets need real adoption and actual use cases. Until this happens, there won’t be another bubble in the space. The time for the speculative mania has passed. People want to see real figures, usage and transaction volumes.”
No Need to Overact Because of Bitcoin’s Predicament
One senior market analyst at crypto startup eToro who’s name wasn’t given in the original report calmed the atmosphere showing a saner outlook to the cryptocurrency:
“I see no need for overreaction. Bitcoin (BTC) is continuing to trade in the core position of support between the $3,000 and $3,500 regions, in the wider range of $3,000 and $5,000, where it has been since last November.”
Going by this proposition regarding the top digital currency, we can assume that talks about a cryptocurrency nuclear winter are farfetched at best. However, only time will tell. In the meantime, top exchanges and cryptocurrency companies are making strides in the space.
Fidelity Investment, Intercontinental Exchange, Samsung, and ErisX have all been a positive development stream for cryptocurrency this year 2019. Nasdaq is reportedly working with seven exchanges to share proprietary surveillance. With such news making waves in the space, we may see a new Bitcoin ETF in coming months, and the Red Sea will probably pass as Bitcoin’s (BTC) valuations begin to skyrocket once more.