Bitcoin Plunges Below $10,000: What Triggered The Dip In The Price of BTC After Hours Of Relative Stability?

Bitcoin News Today – Since July 9, the price of bitcoin has plunged from over $13,000 to below $10,000 within less than three weeks. Many investors regarded this drop as a key psychological level for the king of cryptocurrencies. Since mid-July, the price of Bitcoin recovered from $9,200. However, the crypto asset has currently fallen back below $10,000. On July 17, embarked on a strong recovery and rose from around $9,200 to $10,600. The dominant crypto asset struggled to rise above $11,000. However, the cryptocurrency price does not stop at any resistance level in the past several days.

Bitcoin News Today – Bitcoin Price Prediction 2019 – Bitcoin Latest Update – Jump in Bitcoin’s Price

Bitcoin has witnessed some short squeezes since mid-July. One of these price increases led to a 9% rally with a few minutes. Eventually, it resulted in the liquidation of nearly all the short contracts on the margin trading platforms. Except for some short squeezes, most parts of the market showed signs of control by bears with enormous sell pressure.

Bitcoin (BTC) Price Today – BTC / USD

NamePrice24H %
bitcoin
Bitcoin(BTC)
$18,831.94
-1.64%

A technical analyst and cryptocurrency trader, DonAIt, predicted that the next support for the crypto asset can be found at $9,800. His Bitcoin Price Prediction suggested that Bitcoin is likely to drop to four digits at the current market juncture. According to him, the two green areas below ($9,800 and $8,200) are the ideal levels to close shorts///long.

Josh Rager, a technical analyst, disclosed that technical factors are mostly responsible for bitcoin price movement in the last couple of weeks. However, these factors didn’t affect a few short squeezes on BitFinex, BitMex, and other margin trading platforms. Rager predicted that a fall down to 4 digits is imminent if the bitcoin price fails to claim a support level at $10,189. He made this Bitcoin Price Prediction when the crypto asset was hovering around $10,300.

Bitcoin Price Update – Bitcoin Price Prediction – Bitcoin Latest Update – Bitcoin News Today – Fundamental Factors May Turn Around the Market

Rager noted that the expected support zone now acts as resistance level on the 1hourly chart. According to him, this development will not favor the bull. He expects the bitcoin price to rise and reach the neutral zone. He suggests that a break at $10,189 will led the crypto asset back to 4-digits. Despite the largely technical movement of the bitcoin price, expectations are high for positive developments for the cryptocurrency.

However, Bitcoin Price Prediction by another cryptocurrency trader earlier this week before the fall of bitcoin suggests a further dip. The individual stated that the gap in the CME’s bitcoin futures contract is likely to be at $8,500. Consequently, bitcoin price will fall to a lower level than expected if the digital currency falls to four digits.

Despite the weak signals for the bulls shown by technical indicators, fundamental factors such as the emergence of new trading platforms can boost the crypto market. On July 22, a bitcoin futures trading platform, Bakkt, officially announced the opening of its testing trading platform. Bakkt is a creation of the New York Stock Exchange parent company, ICE.

Due to its bitcoin-settled contracts, the launch of Bakkt was a welcomed development in the crypto market. However, some analysts pointed out that the recent weak short term trend of bitcoin may result from the sell pressure in the crypto market. Such a condition may reduce the influence of fundamental factors but short squeezes are expected.

Max writes about blockchain projects and regulation with a special focus on United States and China. He joined Smarterum after years of writing for various media outlets.

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